The discovery of zones and people's movement patterns supports a better understanding of modern cities and enables a more comprehensive strategy for urban planning. This article proposes a modified method based on previous research to simultaneously discover people's zones and movement patterns, called movement patterns between functional zones (MPFZ). The method attempts to take full advantage of taxi GPS data to identify MPFZs by merging the movement traces satisfying the merging conditions. Considering movement directions, movement numbers and the adjacent constraints that consist of spatial relationship and attribute features, the merging conditions limit the movement traces to be merged. The new MPFZs are discovered by an iteration process and are measured by the following three evaluation indices: v‐value, a‐value and c‐value, which represent coverage, accuracy and their trade‐off. Using a real‐world taxi dataset of Beijing, 24 new MPFZs are discovered, which have higher v‐, a‐ and c‐values than the unmerged MPFZs. The results of the real‐world dataset experiment show that the proposed approach is effective and efficient. The proposed method can also be applied to other types of transportation data and regions by adjusting the dataset utilized and controlling the iteration process.