GBPUSD Daily Analysis – October 6, 2016

GBPUSD’s downward movement from 1.3445 extended to as low as 1.2685. Further decline could be expected after a minor consolidation, and next target would be at 1.2500 area. Near term resistance is at 1.2850, as long as this level holds, the downtrend will continue. Key resistance is located at that downward trend line on 4-hour chart, only a clear break above the trend line resistance could signal completion of the downtrend.

gbpusd chart