US CPI Forecast, GBP/USD Will Break Below $1.2700 Or Above $1.2800?

<p>&nbsp;Price movements on the chart of the GBP/USD currency pair are increasingly mixed, but investors understand the risks as the United States (US) inflation data gets closer to publication.</p><p><br /></p><p>Will be the focus at the beginning of the New York session tonight, the consumer price index (CPI) data is predicted to increase to 3.3% for July from the previous level of 3.0%.</p><p><br /></p><p>When uncertainty prevailed, the US dollar currency failed to show a clear direction of movement.</p><p><br /></p><p>The Pound is trying to 'breathe' again after resisting pressure from the US dollar last Tuesday.</p><p><br /></p><p>However, on Wednesday yesterday, the price on the GBP/USD chart only showed an increase in the Asian session before retreating back down in the European session continuing until the end of the New York session.</p><p><br /></p><p><br /></p><p><br /></p><p>The price which initially reached the height of 1.27800 has dropped to around 1.27200 and slowed down around that at the opening of the Asian session today (Thursday).</p><p><br /></p><p><br /></p><p>A price move back below the Moving Average 50 (MA50) barrier on the 1-hour time frame on the GBP/USD chart signals a warning for a lower price drop.</p><p><br /></p><p>A price drop if it happens needs to first test the current support level at 1.27000 which has previously managed to curb the fall several times.</p><p><br /></p><p>However, if the price breaks through that level, a lower decline will be expected to lead to the next concentration zone at 1.26000.</p><p><br /></p><p>Meanwhile, for the prediction of the rising price pattern, the MA50 barrier that is successfully passed will see the price test the resistance zone at 1.28000.</p><p><br /></p><p>After passing the zone, the price is able to climb higher towards the target at the resistance level of 1.29000.</p>