The price movement on the chart of the GBP/USD currency pair is still flat towards the last sessions for the trading year 2022.
Although the US dollar traded weakly in the New York session yesterday, the Pound failed to take advantage of the opportunity to rise with concerns about strike activity reported in the UK until New Year's Eve.
Therefore, the price movement on the GBP/USD chart is still expected to be flat but any surprises can happen especially in the New York session.
The price support zone is still seen at 1.2000 which managed to rebound the price after being tested several times since last week.
However, the price increase is seen to be limited to the 1.21000 zone, which is an obstacle for the price to jump higher.
Investors still need to wait for a clearer signal of a change in the price trend, waiting for the price to break out of the sideways zone.
If there is a price surge that breaks through the resistance at 1.21000, it will be an early sign of the beginning of a bullish trend movement after the price also moves above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the GBP/USD chart.
For the expectation of a bullish pattern, the next resistance zone is seen at 1.22000 to be tested.
However, if the price shows a decline again, the 1.2000 support zone will continue to be tested to be broken and the price will resume the bearish trend that started in the middle of last December.
The next focus level for a lower drop is around 1.19400 and 1.18800 between which is seen to give an interesting reaction by the price.
