The European currency traded weaker earlier in the week after reports of the AstraZeneca vaccine program being temporarily suspended following the effects of blood clots on vaccine recipients.
However, the World Health Organization (WHO) came forward to calm the situation by assuring to continue the AstraZeneza vaccine injection program because there is no follow -up evidence of the alleged side effects.
The Euro and Pound Sterling were seen moving weak earlier in the week although vaccination programs in the UK were still ongoing.
Factors seen as putting pressure on the Pound Sterling were driven by investor vigilance ahead of England’s central bank policy meeting on Thursday.
The Bank of England (BOE) is expected to maintain current interest rates but the statement by the central bank will be an important indicator of future policy and have an impact on the movement of the Pound.
On the chart of the GBP/USD pair, the price is still showing a bearish pattern with a restrained rise at the Moving Average 50 (MA50) barrier level on the 1 -hour time frame signaling that the price is not ready to make a rise.
The decline has re-hovered in the support zone 1.38600-1.38300 until trading resumed in the Asian session on Tuesday morning.
If the Pound continues to receive pressure this week, investors will expect the price to fall lower past the 1.38600-1.38300 zone before heading to the 1.3700 support zone.
On the other hand if the price manages to rebound, the main focus is on the resistance level of 1.4000 which has yet to be broken after being tested several times since last week.
Higher gains are expected up to the resistance levels of 1.4100 and 1.4200.
