True to the expectations of market analysts, the Pound Sterling continued to maintain an excellent performance continuing until trading earlier this week.
On the price movement on the chart of the GBP/USD currency pair, the price managed to maintain the bullish pattern exhibited since last week and recorded its latest high level this week after the surge in the New York session yesterday.
After flattening at the RBS (resistance become support) zone 1.38000-1.38300 and also supported at the Moving Average 50 (MA50) support level on the 1-hour time frame, the price surged past the resistance of 1.38700 reaching the high level at 1.39100.
Investors are optimistic about the Pound’s strengthening after UK Prime Minister Boris Johnson announced the easing of sanctions starting April 12 for the economy to gradually resume operations.
With the depreciation of the US dollar due to declining US treasury yields, will further strengthen expectations for a rise in prices on the GBP/USD chart.
The next rise is expected to head to the previous focus resistance zone which is at 1.4000. The continued rise will be to a higher resistance level around 1.41000.
If the price makes a decline again, the 1.38000 zone will be the support level for the price. A drop below the MA50 level will again signal for a bearish trend.
The price may make a lower decline again up to the level of 1.37000 or record a new low towards the zone of 1.36000.
