Although the Euro traded weaker earlier in the week, the Pound managed to hold off further depreciation lower.
If we observe the price movement on the chart of the GBP/USD currency pair, the price remains flat above the support level of 1.31000 despite the pressure by the strengthening of the US dollar.
The US dollar as a safe-haven currency gained an edge in a risky return market following tensions erupted over the Russia-Ukraine war conflict.
Western countries are planning to impose new sanctions on Russia after reports of genocide of civilians.
Thus, the US dollar is expected to perform well towards the end of this week.
Even so, the US dollar failed to put pressure on the Pound as the price still held on from falling lower below the 1.3100 support.
However, it is uncertain whether the price will be able to last longer as there are indications for the price to move downwards.
The upside is still blocked by the Moving Average 50 (MA50) barrier level on the 1 -hour time frame of the movement on the GBP/USD chart, signaling for the price to remain in a bearish trend.
If the decline passes the support level of 1.31000, the bearish trend movement of the price will be more clear and push the price towards the next support zone at 1.3000.
On the other hand if the price manages to jump past the MA50 barrier, the bulls will retest the resistance zone at 1.31700-1.32000.
Passing the zone will indicate the movement of the bullish trend with the target to the resistance zone at the height of 1.33000 which was the previous focus.
