A bullish attempt on the GBP/USD currency pair chart last week was seen stuck at the resistance level of 1.27000.
For 2 consecutive days on Thursday and Friday the price tried to break through that level but failed.
The price increase follows a dismal performance by the US dollar for the past week which recorded its first weekly loss for 2024.
A modest bullish pattern has been showing since mid-February, and if the US dollar continues to weaken this week, further gains could continue.
Investors are looking forward to the release of US consumer spending index data this week for indications of Federal Reserve (Fed) monetary policy and will drive the movement of the US dollar.
Meanwhile, the Pound will follow the footsteps of the US dollar when there is a lack of UK economic data which is the focus.
The price on the GBP/USD chart closed around the 1.26700 level in the last session last week after a pullback from the tested 1.27000 resistance level.
The price movement at the beginning of this week slowly hovered around the Moving Average 50 (MA50) line on the 1-hour time frame on the chart for investors to get an indication of further price movement.
If the price increase takes place, the price will once again test the 1.27000 resistance to be broken this week.
If successful, the price increase will record the latest high level with the target to go to the 1.28000 zone.
Meanwhile, if the price drop happens anyway, the closest concentration level is seen at 1.26000 which is likely to invite a price reaction.
The continued lower decline will lead to the level reached in the previous week around 1.25400 or to the 1.25000 support zone.
