The GBP/USD currency pair traded very weakly on Wednesday. Despite the morning release of the inflation report, which is both important under current circumstances and showed quite resonant figures, traders found little reason to react. Several conclusions can be drawn from this.

The EUR/USD currency pair continued its downward movement on Wednesday, with volatility remaining low. Over the past 10 days, the euro has moved by only 70 pips. Clearly, the market is in no rush. And why should it be, when geopolitical factors can sway in any direction at any moment?

The GBP/USD currency pair attempted to resume its downward movement on Tuesday, but with too much uncertainty. The British pound entered a challenging fundamental situation last week, resulting in a 3-cent decline against the U.S. dollar. However, over the weekend, we indicated that we do not believe in further growth of the American currency, unless the war in the Middle East resumes. Let's recall what led to the British currency's fall last week.

The EUR/USD currency pair resumed its decline on Tuesday, once again driven by geopolitical factors. Recall that on Monday, news leaked that the White House was willing to make some concessions to Iran and even temporarily lift all sanctions regarding Iranian oil.

Analysis: On the short-term chart, a bearish trend has been forming for the British pound major since January of this year. Over the past month, an extended corrective flat (B) has been developing within the wave structure. Quotes have reached the upper boundary of a potential reversal zone on the daily timeframe.