The 'Uptrend' Pattern Still Remains on the GBP/USD Chart?


The bullish movement is still on display on the chart of the GBP/USD currency pair heading into the end of the week, but there was an interesting reaction when the data was published.

As in yesterday's New York session, the price was pushed down to reach around 1.24600 after the price increase was displayed in the previous session.

After that, the price bounce happened again to return to the price trading above the 1.25000 zone which was the focus resistance before.

The situation was driven by the release of economic growth data in the United States (US) which saw figures recorded lower than the forecast for the initial reading for the first quarter of 2024.

This again triggers expectations for the tendency of the Federal Reserve (Fed) towards the easing of monetary policy.

Therefore, the US dollar has moved weakly towards the end of the New York session.

During yesterday's decline, prices were also seen testing the Moving Average 50 (MA50) support line on the 1-hour timeframe on the GBP/USD chart before bouncing above the 1.25000 zone again.

This shows that the price movement is still in a bullish trend and a higher price increase is likely to occur.

For the expectation of the next increase, the price will target the next concentration level around 1.26000 to record a 2-week high.

But be careful if the price drops below the 1.25000 zone and passes the MA50 support, it will be a signal for a bearish trend change.

The price drop if continued is seen to approach the 1.24000 level and the price reaction around that will be observed to determine the direction of further movement.