GBP/USD Flattened In 100 Pips Zone This Week


The price movement on the chart of the GBP/USD currency pair is flat this week compared to the pattern of significant price declines in last week's trading.

Investors focused on UK economic data published throughout the week which influenced the Pound currency.

After the UK employment data report last Tuesday, the inflation data followed on Wednesday yesterday which saw a momentary rise in the Pound, but did not continue.

Bank of England (BOE) Governor Andrew Bailey expressed the view that inflation in the UK will experience a significant decline next month.

Markets will await the release of UK retail sales data to be published in the European session tomorrow.

Examining the GBP/USD chart, the uncertainty plaguing both the Pound and the US dollar makes it difficult for prices to show a clear direction of movement for investors.

At the beginning of the week, the price rose a little to test the resistance of 1.25000 but then retreated back down again and also bounced when it approached the 1.24000 level which became the support when making the price.

If the US dollar moves weakly to continue yesterday's dismal performance, the price could make a rebound to test the resistance at 1.25000 as at the beginning of the week.

If successfully breached, the price tendency is to continue rising higher towards the next target at the 1.26000 level.

On the other hand, if pressed to fall lower, the 1.24000 support zone is at risk for the price to break through and record the latest low.

For further decline to continue, the price is expected to reach around 1.23000.