Although slow, the price chart of the GBP/USD currency pair at the beginning of the week yesterday still managed to maintain its upward trend.
Continuing the increase displayed last week, the price managed to stay above the 1.27000 level yesterday.
The movement of the US dollar which is still mixed on Monday yesterday still leaves room for the Pound to display its positive performance.
US and UK manufacturing and services PMI data will be published on Wednesday and will affect both currencies.
Next, the US economic growth data for the fourth quarter of 2023 will be in focus on Thursday which will drive the direction of the US dollar's movement at the end of the week.
On the GBP/USD chart, investors are still seeing bullish price movement signals that are above the Moving Average 50 (MA50) support line on the 1-hour time frame by holding above the 1.27000 level.
Higher gains are expected if the current pattern is successfully maintained for the price to overcome yesterday's high level around 1.27300.
Next, the continued increase will aim to reach the 1.28000 resistance zone.
Meanwhile, a price drop at the 1.27000 level and passing the MA50 support will be a bearish signal for the beginning of the impending price drop.
An extended decline lower is expected to retrace the level tested last week at 1.26000.
