The price chart of the GBP/USD currency pair once again managed to record a daily increase of 100 pips on Wednesday yesterday.
The price increase that occurred was before the FOMC meeting where the price managed to reach a height of 1.27000, which is the highest level since April 2022.
The pound managed to maintain a good performance this week supported by the release of important data that is the central bank's attention, namely employment data and also economic growth.
After a report of good jobs data was published last Tuesday, the reading of monthly growth of the UK economy also met the forecast figure recovering from the previous contraction.
Therefore, the Pound became one of the currencies that excelled in benefiting as the depreciation of the US dollar continued from previous weeks.
As soon as yesterday's price increase touched the target resistance level of 1.27000, the price bounced back down following the reaction to the FOMC meeting early this morning.
The Federal Reserve (Fed) kept the interest rate unchanged at 5.25%, but a follow-up statement by the central bank indicated that the rate increase will occur again by 50 basis points until the end of 2023.
Thus, the strengthening US dollar has again pushed prices down until it continues trading in the Asian session this morning (Thursday).
The price is seen to test the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the GBP/USD chart, and will signal a trend change if the price breaks through it.
A drop below the level of 1.26000 will further witness a bearish price trend that will begin for the price to go to the previous concentration zone of 1.25000.
However, if the bullish price pattern is still successfully maintained, the price increase will once again test the resistance level of 1.27000 and it is not impossible for the latest high level to be recorded again.
The target for a higher move higher is likely for the price to reach around 1.28000 or 1.29000.
