British currency declined last week and reached the support at 1,2980. UK CPI data was the main catalyst for the currency pair to decline. The head of the Bank of England has mentioned that the current inflation level is below target and allows the Bank of England to hold the monetary policy unchanged for some period.

As for the Retail Sales data, this indicator has shown growth on March and reached 1,1%. Previous reading was 0,6%. However, this was not enough to support British currency.

As for the outlook, British Pound failed to break down the support at 1,2980 meaning there are chances for the currency pair to reverse. We advise to monitor price action as well. In case of 1,2980 break down, the upside scenario will be cancelled.