The volatile market environment following the protracted Russian and Ukrainian crises has kept investors wary of price movements in financial markets.
The US dollar is expected to continue to be a concern until the end of this week and is forecast to strengthen if the tensions of the geopolitical crisis fail to be resolved.
In yesterday's development, after it was reported that Europe and the United States (US) launched sanctions on Russia, not least the UK also implemented economic sanctions by targeting several Russian banks.
Thus, investors are also wary of the pressure that will be faced by the UK to push the devaluation of the Pound until the European session yesterday.
But the Pound managed to show a surge in the New York session following a positive statement by the Deputy Governor of the central bank of England (BOE) regarding their monetary policy.
On the price chart of the GBP/USD pair, yesterday's decline was seen to hit the level of around 1.35400 before making a jump of around 60 pips in the New York session.
A rise around 1.36600 also tests the Moving Average 50 (MA50) barrier level on the 1 -hour time frame which gives an indication of a bearish movement if the price remains failing to break it.
If the price resumes the decline, the support level of 1.35000 will return to the focus for the price to retest the RBS zone (resistance become support).
For a lower decline beyond the RBS zone, the price target level is at around 1.34000 for a clearer bearish trend movement on the GBP/USD chart.
On the other hand, if the situation changes and the price rises, the resistance zone at 1.36400-1.36500 will be tested again after a few weeks of the price failing to break it.
The continued higher rise will push the price to test the level around 1.37400 which was reached in January trading.
