Let's Take a Look at the GBP/USD Chart After the UK Data Release

<p>&nbsp;The renewed decline in US dollar currency trading has seen a rebound in price on the GBP/USD currency pair chart.</p><p><br /></p><p>This has been driven by the market's reaction focused on the speech by Federal Reserve (Fed) Chairman Jerome Powell regarding monetary policy.</p><p><br /></p><p>A dovish Powell noted that rate hikes are unlikely to materialize in the near term, but there is room for continued policy tightening after this based on economic data indicators.</p><p><br /></p><p>This has weakened the US dollar and reduced the previous pressure on the Pound.</p><p><br /></p><p>On the GBP/USD chart, the price initially made an initial decline to the 1.21000 concentration level which became a 2-week trading low.</p><p><br /></p><p>However, as expected, there was a price pull reaction in the important zone, which saw the price bounce back up again.</p><p><br /></p><p>With the addition of the US dollar depreciation factor, around 100 pips of price increase occurred which almost touched the 1.22000 level which became an important resistance zone this week.</p><p><br /></p><p>Ending the New York session, the price pulled back down to around 1.21400 and hovered below the Moving Average 50 (MA50) barrier on the 1-hour time frame on the GBP/USD chart again.</p><p><br /></p><p><br /></p><p>UK retail sales data was observed in the European session with a more gloomy reading for September compared to lower forecasts.</p><p><br /></p><p>The pound fell slightly after the published data saw the price drop almost to the 1.21000 level that was tested yesterday will be in the spotlight again.</p><p><br /></p><p>If that important level is finally broken through, the price drop will continue towards the focus support zone at the beginning of last October which is around 1.20500.</p><p><br /></p><p>However if the price shows a rebound, breaking the MA50 barrier will see the price retest the 1.22000 resistance zone.</p><p><br /></p><p>If the breakout is higher, the bullish movement will push the price to reach the target at 1.23000.</p>