The bearish pattern continued on the chart of the GBP/USD currency pair on Thursday yesterday, but the momentum was seen to be slower than the previous day.
If last Wednesday saw a price plunge of almost 200 pips, yesterday's daily drop was recorded around 100 pips.
The price has dropped lower below the 1.20000 level continuing trading into the Asian session this morning (Friday).
As expected, the US dollar continued to push prices lower following a strengthening showing in the New York session yesterday when the United States (US) producer price index data was published with a strong reading for January.
The Pound continues to fail to mount any challenge since the Bank of England's (BOE) signal to stop policy tightening at the previous meeting has weakened the Pound's value in the market.
The price movement on the GBP/USD chart on the 1-hour time frame that remains below the Moving Average 50 (MA50) barrier level remains indicative of a continuing bearish trend.
The price is seen testing the concentration level at 1.19400 before the continued decline will test the 1.18800 level.
Further decline will reach the focus support zone at 1.18000.
However, in the event of a rebound in the closing trade this week, the price above the 1.20000 level could head back to around 1.21000.
And if that level is also successfully passed, there will be a bullish trend change signal that expects the price to reach the 1.22000 zone.
