GBP/USD technical analysis
The pound has fallen nearly 5 cents in an 8-day losing streak that started on August 25. It's been a nasty whipsaw in the pound after it touched a 2-month high that day.
Cable tends to run in streaks and this is the longest losing streak since Oct 2014, when it also declined for 8 consecutive days.
The last time the pound fell for 9 or more consecutive sessions was in August 2008, when it fell for 10 consecutive days as part of a three-and-a-half month swan dive to 1.45 from 1.98.
What next
There's no good place to catch a falling knife but this might be one of the better ones. Fundamentally there is nothing screaming to sell the pound. There is also some decent support just below 1.52 so that's a way to define risk for a long to the 200-dma at 1.5360 or 100-dma at 1.5495.
Looking towards the medium-term, the greatest risk is that the BOE backs away from its hawkish stance. But with no meeting until next Thursday and BOE speakers likely to be quiet in the interim, that's not a worry for short-term trades.
