The Pound failed to show a stellar performance after the UK jobs report was published with an increase in figures in the European session yesterday.
UK consumer price index (CPI) data showed annual inflation readings rose to 3.0%, higher than the forecast of 2.8%.
The figure also showed a significant rebound from the 2.5% level after a decline in the reading published in January.
Meanwhile, the US dollar showed an increase in value in trading yesterday Wednesday following risk-on market sentiment after President Donald Trump announced new tariffs.
With the Pound failing to surge back above the US dollar, the GBP/USD currency pair chart is showing a bearish pattern.
However, investors are still looking for clearer signals with price movements still hovering around the 1.26000 focus zone.
The price decline in the New York session yesterday reached 1.25700 before the price slowly rose again to approach 1.26000 in trading that continued into the Asian session this morning (Thursday).
It was an early warning to investors when the price began to move below the Moving Average 50 (MA50) resistance line on the 1-hour time frame on the GBP/USD chart, which could trigger an early signal of a bearish price movement.
If the price clearly declines, it is expected that the level around 1.25000 will be the target.
If the price continues to decline lower and penetrates that level, the price could possibly reach 1.24000.
However, if it surges strongly after moving above the 1.26000 level, the high level reached this week around 1.26400 will be challenged.
A continued rise higher will record a new 9-week high with the target shifting to 1.27000.
