Observing the price movement on the GBP/USD chart seems to once again present a bearish action above 80 pips in the New York session yesterday (Wednesday) until the end of the session.
The plunge has also negated the bullish attempts exhibited to stay moving below the SBR (support become resistance) zone of 1.33000 and the Moving Average 50 (MA50) barrier level.
The price pattern also saw the price movement still continuing the dowtrend pattern if viewed on the daily time frame since the price has reached a high of around 1.42500 in early June.
Rising doubts over the Bank of England's (BOE) implementation of policy tightening measures continue to worry investors in the post -Brexit period which is still unfinished.
These factors have completely caused the burden on the Pound to strengthen and indirectly continue to give room for the USD to display dominance.
While the USD continued to record a strengthening following the hawkish Federal Reserve (Fed) statement and the US NFP ADP data report which posted a satisfactory reading from expectations.
However, the price seems to be testing the trendline support to possibly start giving signals in making an uptrend that is expected to break the SBR 1.33000 zone first.
A more aggressive rise will see the price reach the SBR zone of 1.34000 before strengthening the expectation of being able to reach the peak of resistance observed in the zone of 1.35000.
Nevertheless if the price movement continues to tend in maintaining the bearish performance, the support zone of 1.32000 and the lows around 1.31940 will be the main targets to be hit.
A lower decline will see the lowest level for 2021 and since December 2020 is likely to be again created which is expected to trace to the zone 1.31000.
