While the latest economic sector data released early yesterday was mixed, the Pound currency appeared to have managed to steal some room to rise in the market and cut half of the losses in the decline at the end of last week.
If we look at it, the PMI data for November recorded a poor reading for the manufacturing sector, but the reading for the excellent services sector increased for both the UK and American economies.
The US dollar exhibited mixed movements yesterday as investors remained cautiously awaiting the outcome of this week's FOMC meeting.
For the Pound, the UK jobs report will be watched today (Tuesday) and the UK inflation data on Wednesday, before the focus shifts to the Bank of England (BOE) policy meeting on Thursday.
Examining the GBP/USD currency pair chart, the price that fell near the 1.26000 zone at the end of last week showed a rebound at the opening of the week early yesterday.
The price has recovered around 100 pips to the 1.27000 level before the price momentum stopped there.
Prices have recovered half of last week's decline.
Price action since this morning's Asian session (Tuesday) has slowed below the 1.27000 zone as the market awaits the UK jobs report in the European session.
However, the price action above the Moving Average 50 (MA50) support line on the 1-hour timeframe on the GBP/USD chart provides an early signal for a bullish trend in prices.
If the pattern continues, prices will break through the resistance at 1.27000 before continuing its climb to last week's focus level again.
The resistance zone at 1.28000 will be the target where prices also tested the zone last week, but remain a barrier to higher gains.
However, if prices return to the downside after failing to break through 1.27000, the current support at 1.26000 will be approached again.
A lower decline would expect last week's bearish pattern to continue with the target shifting to around 1.25000
