The market saw a bullish momentum around the 1.0400-1.0600 levels, which could prevent further bearish decline.As the market continued its bullish movement, bulls defended the ascending bottoms around 1.1150 and 1.1750, leading to an expected bullish continuation above 1.1750.The price action around 1.2340 was observed for initial bearish rejection before a bullish bounce was expressed. However, the GBPUSD bulls failed to record a new high and instead established a double-top pattern around the same price level.This led to a bearish pullback towards 1.1800, which was considered for a valid BUY entry with an initial target around 1.2350. Recent fundamental analysis indicates that the GBPUSD pair has been supported by the UK's economic recovery and successful vaccination campaign, while the USD has been pressured by low interest rates and inflation concerns.Despite this positive outlook, traders should remain vigilant for any updates that could impact the currency pair's performance.If there is bullish persistence above 1.2340, the pair could advance further towards 1.2700, but if the current bullish movement around 1.2500 turns out to be a trap, another bearish movement towards 1.1750-1.1800 should be expected.
