Bearish Signal For GBP/USD, Price Flattened At $1.2700 Level

<p>&nbsp;The bearish pattern was again exhibited on the chart movement of the GBP/USD currency pair yesterday.</p><p><br /></p><p>The high price level reached last Friday seems to have failed to be overcome after the price increase was displayed earlier this week.</p><p><br /></p><p>The price that hovered at a high level around 1.27650 in the Asian session yesterday then made a decline until it returned to the concentration level of 1.27000.</p><p><br /></p><p>As expected there will be a reaction in that important zone, the price did not continue to break down but instead leveled above it until trading resumed in the Asian session this morning (Wednesday).</p><p><br /></p><p>However, the price movement that has started to be below the Moving Average 50 (MA50) obstacle line on the 1-hour time frame on the GBP/USD chart gives an early signal for the bearish movement to begin.</p><p><br /></p><p>If the US dollar continues its positive performance today, a further decline in price below the 1.27000 level is likely.</p><p><br /></p><p>Next, the price drop will continue to reach the target up to the concentration zone of 1.26000.</p><p><br /></p><p><br /></p><p>However, ahead of the release of United States (US) inflation data on Thursday, any possibility can happen in the market.</p><p><br /></p><p>The price could also jump higher again from the current level of 1.27000 if the US dollar weakens again.</p><p><br /></p><p>Breaking through the MA50 barrier will push the rise to continue towards resistance at the 1.27700 level.</p><p><br /></p><p>Next, the 1.28000 zone will be an important focus if the price still makes an increase to test the resistance zone at the end of December.</p>