Price movements on the chart of the GBP/USD currency pair are still flat from the beginning of the week with important economic data being in focus.
The pound fell in trading on Tuesday after investors looked into the UK jobs data report published in the European session.
Although the average wage index recorded a percentage increase, the unemployment rate met expectations to rise to 4.3% from 4.2%.
Today's European session will focus on UK economic growth data to be published with expectations of a contraction in monthly growth in July.
The drop in price on the GBP/USD chart yesterday to around 1.24600 has crossed the Moving Average 50 (MA50) level on the 1-hour time frame signaling for investors to prepare for a possible lower drop.
Closing the end of the New York session with a rebound, the price then flattened below the 1.25000 level continuing the opening of the Asian session this morning.
If the price fails to break above 1.25000 and bounces back down, the price could reach around 1.24000 to record a new 3-month low.
If it continues lower, the target will move to the 1.23000 level.
However, if the price makes an increase above the 1.25000 level, the price will overcome the height of the beginning of the week before the price goes to the resistance level of 1.26000.
After a clearer signal of a change in the bullish trend, the price that continues to rise will break through the resistance of 1.26000 and then aim for the level of 1.27000.
