The attempt to rise on the GBP/USD currency pair chart at the opening of the week yesterday was seen to have failed to surpass the high level recorded last Friday.
However, what is clear is that the price increase is still hindered by the 1.28000 resistance zone which has been tested for 2 consecutive days.
It is difficult for investors to determine the strength of the US dollar more clearly as long as the United States (US) inflation data report has not yet been published.
The latest US inflation reading for November, which will be published tomorrow Wednesday, will guide the central bank in setting their monetary policy after the jobs report was reviewed last week.
The price on the GBP/USD chart was seen to retreat from the 1.28000 zone as it headed towards the end of the New York session before ending around 1.27500.
The slow movement around this area in the Asian session trading this morning (Tuesday) is seen testing the Moving Average 50 (MA50) resistance line on the 1-hour time frame on the chart which could provide an indication of the direction of further movement.
If the decline continues today, the price is seen to reach 1.27000 to test the focus level as in early trading last week.
A dip lower will drag the price down towards around 1.26000 to record a 2-week low.
On the other hand, if the price surges back up, the 1.28000 resistance zone will continue to be the focus to be tested until the price breaks through.
The latest 4-week high will be recorded after the rise successfully continues with the next target shifting to around 1.29000.
