Poor PMI data has stalled the move higher for GBP/USD. The Bank of England is coming under political pressure to control inflation. RSI bearish divergence could lead to lower prices in the charts. The GBP/USD forecast is neutral to bearish as the bulls have shown weakness around the 1.2600 level. This weakness comes ahead of US data releases, which could mean traders are waiting to see the outcome later in the day. There is a bank holiday in Europe that may keep volatility limited. –Are you interested in learning more about British Trade Platform Review? Check our detailed guide- With inflation at 9% this month, the highest in 40 years, the Bank of England is starting to feel political pressure. The bank is coming under attack by politicians for underestimating the threat of rising inflation. The Bank of England governor, Andrew Bailey, said that interest rate hikes were almost entirely useless in tackling current sources of inflation despite being used by most central banks. In his opinion, increasing interest rates will do very little to cut the price of energy or change the course of the war in Ukraine. Could this mean that the central bank is powerless against this new enemy? The bank has a strange solution for these trying times. It focuses on bringing inflation down by squeezing wages and preventing a so-called ‘wage-price-spiral.’ In essence, workers must sacrifice household incomes to control inflation and maintain corporate profits. GBP/USD key events today GBP/USD might experience volatility today brought on by news releases from the US, including GDP (QoQ) (Q1), which investors expect to go up from -1.4% to -1.3%. A drop from here could see dollar weakness and a rise in GBP/USD. Investors expect initial jobless claims in the US to drop from 218k to 215k. Get FREE Forex Signals Now! GBP/USD technical forecast: Bulls’ exhaustion at 1.2600 The 4-hour chart shows a bearish divergence in the RSI, which is a sign that there is little bullish momentum in recent price movements. The price is currently trading between 1.2500 and 1.2600 and shows the possibility of breaking below the 30-SMA. –Are you interested in learning more about buying NFT tokens? Check our detailed guide- If bulls cannot bring back momentum to push prices above 1.2600, then bears might retest the 1.2200 lows. This retest could see the return of a bearish market, but only if we can see the RSI getting oversold. For now, the bias remains up. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next EUR/USD Price Supported Above1.0641 After FOMC, Eying US GDP Olimpiu Tuns 1 month Poor PMI data has stalled the move higher for GBP/USD. The Bank of England is coming under political pressure to control inflation. RSI bearish divergence could lead to lower prices in the charts. The GBP/USD forecast is neutral to bearish as the bulls have shown weakness around the 1.2600 level. This weakness comes ahead of US data releases, which could mean traders are waiting to see the outcome later in the day. There is a bank holiday in Europe that may keep volatility limited. -Are you interested in learning more about British Trade Platform Review? Check our detailed guide- With… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.