The price movement on the chart of the GBP/USD currency pair is still in a bullish trend and it is expected that the latest high price level will be recorded in this new week.
At the close of the last session last week, the price showed a rebound compared to the horizontal movement of the previous few days around the 1.24000 zone.
Before that, a strong surge in prices was displayed following the reaction to the published United States (US) inflation data, but prices fell again following the UK inflation data slowing down the Pound's performance.
Expected bullish trend movements will be maintained this week, which is seen to remain above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the GBP/USD chart.
For that situation to occur, the US dollar needs to move weakly like last week, and there are additional factors that support the Pound to recover.
The price closed last week's trading at around 1.24600 before the bullish pattern was seen to continue again in the Asian session at the opening of the week.
The 1.25000 level is getting closer to the price to be tested after the price had surged to that level last week but failed to break through it.
If the uptrend is successfully maintained and the price finally manages to break through the resistance, the latest high level will be recorded.
The target for a higher price increase will target the next concentration zone around 1.26000.
However, it is not impossible for investors to see a drop in prices again this week if the situation is different from the previous week.
The price is likely to re-approach the 1.24000 zone or break lower before signaling a bearish trend change.
The next price drop is seen to reach around 1.23000 or 1.22000 for the price to retest the previous price concentration levels.
