• GBP/NZD declined on Tuesday as risk appetite increased on hopes that China would loosen COVID-19 restrictions.
• Investors hoped China would ease COVID restrictions after Chinese health officials discussed speeding up COVID vaccinations for elderly people.
• The pair hit daily low at 1.9228, it was last down 0.08% at 1.9366.
• From a technical viewpoint, the moving averages are pointing downwards, while the RSI is strongly bearish at 46.
• Immediate resistance is located at 1.9320 (9 DMA), any close above will push the pair towards 1.9439 (50% fib).
• Immediate support is seen at 1.9206 (38.2% fib) and break below could take the pair towards 1.9126 (Nov 4th low).
Recommendation: Good to sell around 1.9300 with stop loss of 1.9380 and target price of 1.9240