The price movement on the chart of the GBP/USD currency pair at the opening of the early week yesterday was seen to show a slight decline after last week the price managed to reach the latest highest level since April 2022.
The US dollar is seen not to continue the decline pattern of last week with the market in America also closed in conjunction with the Juneteenth Holiday.
The Pound traded cautiously ahead of the release of UK inflation data on Wednesday before the focus turned to the Bank of England meeting on Thursday.
The Bank of England (BOE) is expected to raise interest rates by 25 basis points to 4.75% in an effort to ease inflation that is still high in the country.
The increase in interest rates implemented is seen to support the further strengthening of the Pound currency this week, continuing the excellent performance of last week.
However, with the price movement starting to be below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the GBP/USD chart, investors are ready if a downward change is imminent.
If the price decline is displayed, the price is seen to go to the 1.27000 level to test the RBS (resistance become support) zone.
An extended lower decline could reach back to previous focus levels at 1.26000 and 1.25000.
On the other hand, if the price still maintains its surge this week, the increase is seen to continue towards the height of 1.29000.
Reaching that level, the price will also record the latest high and the next target will be at 1.30000.
