The Pi Zero W has two micro USB ports:
- Micro USB On-The-Go, labeled "USB" - this is where the hub is connected
- Micro USB power, labeled "PWR" - this is where the power supply for the Pi is connected
In other words: yes, you can do both things at the same time. This is exactly what both ports are for.
Addendum:
From the schematics of the Pi Zero, and assuming that the Pi Zero W is similar in this respect, we find that the USB On-The-Go port's power line is connected to VBUS whereas the power port is connected to 5V. Unfortunately the schematics do not mention VBUS again at any other point.
However connecting the power supply to the data port does indeed power the Pi. This answer supports that the Zero (again assuming the Zero W behaves the same way, which is likely) can be backpowered.
The final question now is whether the shown OTG hub powers the power line on its upstream port - which I cannot tell from the picture. If it is self powered (not bus powered) it is quite likely that it will work.