FX.co ★ COVID-19 fears continue to strengthen Dollar versus the British Pound, pushing the sterling to multi year lows

GBPUSD is breaking to new lows below the 2016 level, forming very bearish patterns that could push the pair to 1.11. The Dollar continues to strengthen despite the actions taken by the Fed, thus affecting negatively the British pound.

Green rectangle- horizontal long-term support

GBPUSD is breaking below 2019 and 2016 lows around 1.1980. A bearish inverted cup and handle pattern could be seen with targets around 1.11. Trend is bearish. GBPUSD is another victim of COVID-19 and things do not look good for the pound as long as price is below 1.2060. Trend is bearish in all time frames. The most worrying thing is that even in the Daily chart the RSI shows no bullish divergence.