The price movement on the chart of the GBP/USD currency pair is seen to be still flat at the opening of the early week until Tuesday yesterday.
Investors are cautious about the movement of the Pound ahead of the UK inflation data report which will be published at the start of today's European session.
The rate of inflation expected to decrease from the current level of 2.0% was seen to further push the central bank of England (BOE) to move into the easing phase of their monetary policy.
This situation could risk the Pound to experience a gloomy performance after this.
While the US dollar is also at risk of moving weakly in the market after the dovish signal from Federal Reserve (Fed) Chairman Jerome Powell to prepare to switch to policy easing.
Powell said the central bank does not need to wait until inflation reaches its 2% target to implement interest rate cuts.
However, the US dollar has not yet shown a significant decline, making the movement on the GBP/USD chart remain flat.
In the past week, the price was seen maintaining a bullish pattern until the increase approached the height of the 1.30000 level.
However, that level became a resistance zone for the price that has not yet been broken through and the horizontal movement of the price at the beginning of the week also hovered around the bottom.
The price hovers around the Moving Average 50 (MA50) line on the 1-hour time frame of the chart while investors watch for the next price trend signal.
If the price increase succeeds in continuing past the resistance of 1.30000, the latest high level will be recorded with a price target to go back to 1.31000.
But if the price plummets, the nearest support level that will invite a price reaction is at 1.29000.
A lower drop will expect further price declines to continue to around 1.28000.
