The price movement on the chart of the GBP/USD pair is still below the $ 1.4000 level after the resistance level remained invulnerable to break.
After the US dollar depreciated at the FOMC meeting, the price has soared from the 1.38500 level to the 1.40000 level. The level was again tested before the price dropped lower again.
Trading that continued until Friday saw the price have moved down below the Moving Average 50 (MA50) barrier level on the 1 hour time frame of the price movement for the bearish trend signal.
In addition to pressure by the strengthening US dollar, England’s central bank meeting also influenced the direction of the Pound’s movement.
The Bank of England (BOE) still maintained a loose policy after interest rates remained unchanged at 0.10% and an asset purchase program continued at £ 895 billion. This situation will have a devaluation effect on Pound trading.
The price on the GBP/USD chart is expected to continue the lower decline to the support zone of 1.38300.
Sentiment that remains unchanged will push the decline lower towards lower support around 1.37000.
However, if the price manages to rebound, the resistance level of 1.4000 will still be the focus level to test the price.
Prices that manage to break these key levels are expected to push prices higher to previous focus levels at 1.41000 and 1.142000.
