The GBP/USD currency pair chart shows further price declines heading into the final sessions of last week.
This follows the meeting results by both central banks, the Federal Reserve (Fed) and the Bank of England (BOE), which each kept interest rates unchanged at 4.50%.
The US dollar appears to have recovered after the FOMC meeting as policymakers appear in no rush to lower interest rates in the near term.
However, the risks still surrounding the American economy by the Trump administration could put pressure on the US dollar again.
UK inflation data will influence the Pound this week while the US dollar awaits the release of PCE price index data.
If we look at the GBP/USD chart, the price has again slipped down from the 1.3000 level after failing to break through the resistance zone.
After testing it several times, the price then changed direction to make a decline and at the end of the week, the price reached the level of 1.29000.
The price movement that returned to be below the Moving Average 50 (MA50) resistance line on the 1-hour time frame on the chart signals a change in the bearish trend.
The price slowed above the 1.29000 zone at the opening early this week with expectations that the downward pattern will likely continue.
If the price drops beyond the current support at 1.29000, further declines are expected to head towards the 1.28000 focus zone.
On the other hand, if the price surges from the 1.29000 zone and then overcomes the MA50 barrier, the price increase will head back towards the 1.30000 resistance zone last week.
Breaking through this important resistance, the price has the potential to record a new 5-month high with the target shifting to around 1.31000.
