The US NFP employment report published last Friday has changed the direction of the price movement on the GBP/USD currency pair chart.
The strong price surge shows that the US dollar has experienced a significant decline after showing excellent performance earlier in the week.
The data has also increased expectations for an interest rate cut by the Federal Reserve (Fed) at the September meeting with a percentage exceeding 90%.
The declining report for July also caused frustration for President Donald Trump, who acted to fire the Bureau of Labor Statistics Commission officer because he felt the report figures were manipulated.
Before the rebound, the price on the GBP/USD chart had shown a continuous downward pattern until reaching an 11-week low of 1.31400.
From that low, the price jumped 160 pips, breaking 1.32000 to reach back to the previous focus level of 1.33000.
Testing the resistance level, the price retreated back to around 1.32200 before rising slowly and closing the last trading session of the week at 1.32800.
The price movement remained hovering below the 1.33000 zone at the opening of the week, but the price being above the Moving Average 50 (MA50) support line on the 1-hour timeframe on the GBP/USD chart signaled a change in the bullish trend.
If the price increase continues beyond the 1.33000 resistance, the price will head towards the focus levels that were the focus of the previous week such as 1.34000 and 1.35000.
However, if the price retreats back down from the 1.33000 level, it is likely that the 1.32000 level will be tested before the price risks falling lower than last week's level.
