GBP/USD risks a drop to 1.2925 – Commerzbank

Senior Analyst at Commerzbank Axel Rudolph noted Cable could drop and test 1.2925.

Key Quotes

“Last week GBP/USD dropped to 1.2975, close to the July low at 1.2925, which today is back in the picture. Over the next few days the risk remains on the downside while trading below the 1.3173 July 30 high”.

“Failure at 1.2925 would put the August 2016 low at 1.2866 on the cards”.

“A move above the 1.3363 July high would imply a deeper corrective phase to the 1.3473/1.3580 June high and 200 day moving average”.