The Pound Sterling finally managed to ward off protracted pressure when it managed to rise significantly in early trading this week until yesterday to end its declining performance a few weeks earlier.
The latest factor supporting the Pound is an encouraging published UK employment data report. The data component was examined with readings that outperformed the previous month with the unemployment rate being the focus of a record decline.
This has prompted a surge of the Pound while the depreciation of the US dollar in the market is increasingly paving the way for such a positive rise.
On the price chart of the GBP/USD pair yesterday, the price has recorded a daily rise of around 180 pips to reach the highest level in 2 weeks.
In early trading of the week, the price has given an early signal for a change in the bearish trend after the price started moving above the Moving Average 50 (MA50) support level on the 1 -hour time frame on the GBP/USD chart.
Apparently the price continued to rise higher until it passed the resistance zone at 1.2400 until it reached the high level at 1.2500.
Until trading to the end of the New York session and continue to the Asian session this morning (Wednesday), the price began to flatten below the level of 1.2500 which is the latest resistance for the price.
With the momentum of the surge still strong, analysts remain expecting the price trend to continue rising even higher today towards the next high target around 1.2600.
However, if the price fails to pass 1.2500 and starts to plummet again, the initial support level seen to be tested by the price is at the 1.2400 zone.
The continued lower decline will return to the level around 1.22800 or the lowest level hit last week around 1.21600.
