Looking at the price movement on the GBP/USD chart has seen the price surge continue to return to last week's highs around 1.33640.
Meanwhile, in particular it has already realized a jump approaching 200 pips after the 1.32000-131600 support zone touched in early week trading continued intact supporting the surge.
In addition, the surge also keeps the price above the Moving Average 50 (MA50) barrier level which is often considered as an indication of a change in the bullish trend.
Risk-on market sentiment re-dismantled the safe-haven currency including temporarily collapsing the USD king position after it performed well last week.
Being the latest focus of investors is the anticipation of the release of data on the personal spending index of the United States (US) consumers which is expected to be able to influence the movement of the USD more vigorously.
These things have already created an opportunity for the Pound to rebound after a weak performance in early December trading.
That is, the high level of 1.33640 was also a support in November which is now considered as the level of SBR (support become resistance) and often block the surge in December trading.
Therefore, it will indirectly make investors assess the price reaction at the SBR level before expecting the price to reach the 1.34000 zone if the level is able to be passed.
But on the other hand, the 1.33000 zone will probably be the initial target that is expected to be hit first if the price movement tends again in making the price decline.
A lower price decline will push the price again to reach the support zone of 1.32000 and thus the probability will continue the horizontal movement for 4 weeks.
