GBP/USD is now in a consolidation phase following the aggressive move lower but analysts at Credit Suisse expect further weakness.
"We look for further weakness to unfold in due course in line with the very large, multi-year bearish ‘triangle’ pattern completed recently.”
“Support is initially seen at the 1.1412 recent low, then trend support from 2009 at 1.1093 and price support from 1985 at 1.1060 just below, where we might see a first attempt to hold.”
“Below here would see the market fall even further, with next support at the 1.0805, however the size of the ‘triangle’ suggests it’s very possible the market could test its current all-time low from 1985 at 1.0520.”
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