British Pound 1.9700 Support...For Now

Cable has found support just below 1.9700 but the bounce has been minimal so far. Although the decline from the top (2.0131) is choppy, the series of lower highs keeps us looking lower.

Trendline resistance (shown below) comes in at 1.9760 and 1.9880, but price needs to remain below 1.9873 (former peak) in order to keep the short term trend pointed lower. Daily lows from late March/early April are at 1.9545/89 (there is a trendline dating to June 2006 near there as well). At this point, the pattern from 2.0131 appears to be playing out as a double zigzag - which points to lower levels. Price has dropped under the 55 day SMA also (the 100 day is at 1.9661).