Failing to Break $1.2900, GBP/USD Pulls Down


The bullish pattern on the GBP/USD currency pair chart that continued last week was seen to fail to be maintained when trading resumed early yesterday.

In the past week it can be observed that the increase continued until the end of the week almost touching the level of 1.29000 while recording the highest level since July 2023.

But the situation started to change on Monday yesterday when the price moved horizontally in the Asian and European sessions around the 1.28500 level and then showed a drop to the 1.28000 zone again.

The price was also seen falling below the Moving Average 50 (MA50) barrier line on the 1-hour time frame on the GBP/USD chart as an early signal for bearish movement.

Price movement was slow in the 1.28000 zone in the Asian session this morning as investors were wary of the Pound ahead of the UK jobs data report due to be published in the European session shortly.

And in the New York session later tonight, the United States (US) inflation data will follow to impact the movement of GBP/USD today.

If the price jump occurs, the increase is expected to return to the resistance target of 1.29000.

If it manages to pass it, the price will continue to rise to record the latest high level for a period of 8 months.

But if the price plunges down, the 1.27000 level is seen as a focus for the price to test the RBS (resistance become support) zone.

Both the data in the European and New York sessions can have a big impact on further price movement patterns. Investors need to be careful.