GBP/USD at $1.2426: NFP in Focus

GBP/USD is trading around $1.2426, down 0.1%, as the market focus shifts to the U.S. jobs report. The pound is under pressure due to the BoE’s forecast of higher inflation and weaker growth, with two officials advocating for a larger rate cut. Meanwhile, the U.S. labor market is expected to add 170,000 jobs and maintain a 4.1% unemployment rate. A strong U.S. jobs report could push GBP/USD lower, while weak data may support the pound.

The first resistance level is 1.2500, with the next targets at 1.2600 and 1.2650 if breached. On the downside, initial support is at 1.2340, followed by 1.2265 and 1.2100.