The GBP/USD currency pair chart clearly continued the downward trend at the opening of trading early yesterday.
The price, which extended the decline from last week's close, recorded a fresh 5-week low near the 1.27000 level.
Investors remain wary of volatile price movements in a market situation that is still haunted by concerns about a new round of tariffs.
The latest developments are being observed, with America and China exchanging threats to retaliate with tariffs.
Although the US dollar is traded mixed, the Pound currency is more defeated after the fall that began at the end of last week.
If observed on the GBP/USD chart, the price has made a decline from a peak of 1.32000 to the 1.29000 zone.
At the opening of trading early yesterday, the price hovered around 1.29000 in the Asian session and then showed a clearer decline in the New York session to penetrate 1.28000.
Approaching 1.27000, the price bounced back to resume trading at the opening of the Asian session this morning (Tuesday).
The price leveled off below the 1.28000 zone at the beginning of the European session with expectations of a continued decline given that the price is still below the Moving Average 50 (MA50) barrier line on the 1-hour timeframe on the GBP/USD chart, which shows a bearish signal.
If the price continues the downward pattern and surpasses 1.27000, the latest low price target will shift to around 1.26000.
The price reaction will be observed at that zone, which was an important price support in early March trading.
Meanwhile, if the price manages to continue the bounce from the 1.28000 zone, it is likely that the 1.29000 zone will return to be the focus to be targeted.
Passing that level and the MA50 barrier could signal a price change in trend again.
