GBP/USD bearish zig zag continues

Exclusive GBP/USD Analysis 26.09.2016

GBP/USD bearish zig zag  continues

The GBP/USD is expectedly dropping from 1.3120 zone but it is getting close to its support at 1.2914. 1 hour momentum below or 4h close below 1.2914 could tank the pair towards 1.2870 where further weakness could open the door to 1.2785. ATR shows a confluence at 1.2870 so this is the first level to watch if weakness continues. POC zone shows where the cable could sell on a retracement. 1.3015-40 is the zone (H3, EMA89, trend line, historical sellers, 61.8) where GBP/USD could reject towards 1.2870 if we see a retracement to the upside.

Either way, cable is bearish and these are 2 possible scenarios in short term.

GBP/USD Technical Analysis Chart

Daily technical analysis is written by Nenad Kerkez, a senior analyst at Admiral Markets.

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Nenad Kerkez

Nenad Kerkez is an analyst and trader who has been in the market since 2008 and works closely with Admiral Markets as their Senior Lecturer and Market Analyst. Nenad covers over 25 currencies on an intraday basis and has a Masters in economics. He also developed CAMMACD TM, a proprietary trading and analysis strategy wit ever powerful pre fact setups that you can read every day. Nenad is also a valuable presenter on various FX EXPO shows, where he always presents new and interesting ways how to trade price action and protect your own investments. Further, he is the co-founder and head of Elite Currensea Trading, an educational website for currency traders.