The price movement pattern on the chart of the GBP/USD currency pair this week started to slow down compared to the drastic decline exhibited last week.
Some of the UK economic data investors watched this week included the jobs report in yesterday's European session.
Today, UK inflation data will be watched which is an important indicator for the central bank of England in setting the direction of their monetary policy.
Meanwhile, current factors in the market that continue to favor the US dollar will add pressure to the Pound.
On the GBP/USD chart, the trend is still bearish with the price continuing to decline since last week, but the momentum started to fade from the beginning of this week.
Horizontal price movement below the 1.25000 barrier and until yesterday was seen hovering above the 1.24000 zone.
The Moving Average 50 (MA50) barrier line on the 1-hour time frame on the chart was tested but not crossed, suggesting the price's downward movement will continue.
If the decline continues, support at the 1.24000 level is likely to be breached for the price to record a recent low.
The price's next target is to reach the next concentration level at 1.23000.
However, it is not impossible for the price to cross the MA50 barrier before the price will once again test the resistance at 1.25000 as at the beginning of the week.
A higher move above that level would signal a trend change before the rally could reach up to previous levels such as at 1.26000 or 1.27000.
