Investors placed their hopes on the Pound currency trading in the European session yesterday after the value increase on display.
However, hope remains hope. The pound depreciated again before moving slowly until the end of the New York trading session.
In the wake of Brexit, European Union (EU) Brexit Consultant Michel Barnier reportedly extended his visit to London after talks over the weekend.
UK Prime Minister Boris Johnson's spokesman said there were still many issues to be resolved and that the gap was still keeping investors cautious for any unpleasant decisions.
On the price chart for the GBP / USD pair yesterday, the price moved lower in the Asian session touching the focus level of 1.30000 before jumping around 80 pips in the European session giving hope to investors.
However, the increase is only temporary after the price fails to pass the Moving Average 50 (MA50) barrier level tested on the 1 hour time frame of the price movement.
The price is re-pressed to the level of 1.3000 which is the current price support level. The decline was also driven by the strengthening of the US dollar during the trading session earlier in the week following market risk sentiment.
The Asian session on Tuesday saw a slow movement of rising prices testing the MA50 dynamic barrier in the RBS zone (resistance become support) below the 1.30600 level.
If the price manages to make a rise, the resistance zone at 1.32000 will be re-tested.
However, if the price moves lower below the 1.3000 level, a lower price drop is expected towards the RBS zone of 1.29000.
Next, the continued decline will test the support zone at the lower level around 1.27600.
