Type:
Bullish Rise

Key Levels:
Resistance: 1.2286
Pivot: 1.2161
Support: 1.2047

Preferred Case:
On the H4, with icpre moving along the ascending trendline and above ichimoku cloud , we have a bullish bias the price may rise from the pivot at 1.2161, where the 23.6% fibonacci retracement is to 1st resistance at 1.2286, which is in line with the 78.6% fibonacci retracement .

Alternative Scenario:
Alternatively, price could drop to the 1st support at 1.2047, which is in line with 50% fibonacci retracement .

Fundamentals:
The interest rate in the UK is at 1.25% with the recent rate increases from the BoE failing to have an impact on slowing inflation growth, as the UK CPI stands at 9.1%, a 4-decade high. The BoE is under pressure to take on a more aggressive approach in setting future policy rates. Gov Bailey indicated that the BoE could increase interest rates by 50bps as it attempts to address the issue of persistent inflation.