The drop accelerates on the GBP/USD

The GBP/USD continues dropping as shown on the daily chart and accelerates its bearish momentum below the 61.8% Fibo, around the 1.3100 level. The pair is retracing the rally that it made from the 1.2800 level to the 1.3600 level that took around one month to complete. At the moment, the GBP/USD is getting closer to the 1.3000 level, where we can also find the 200 day EMA (blue line) and the 76.4% Fibo. That zone has a high probability of acting as support due to all the factors coinciding around that area, but the fundamental data should also help the Pound regain some of the lost ground versus the Dollar, otherwise the pair may just continue falling. In case of a bearish breakdown below the 1.3000 level, its next support level could be the 1.2800 from where it started rallying, completing what it is known as a parabolic retracement of 100%. In case the pair bounces from the 1.3000 level to the upside, its next resistance could be the 1.3200 level where we can find the 55 day EMA.