FxWirePro: GBP/NZD drops below 2.0250, approaches 23.6% retracement level

• GBP/NZD dipped on Monday as  talk of negative rates by Bank of England and Brexit concerns dragged the pair downwards.

• The pair is edging towards 23.6% fib at 2.0131 ,as the UK news is turning  more negative  day by day. A break below 2.0131 might spur increased downward momentum.

• At GMT 16:42, the pair was trading 0.81% lower at 2.0220, lowest  since 13th May.  

• Technically 9 day 11-day momentum remains negative and RSI has sharply turned lower.

• Immediate resistance is located at 2.0308( 5 DMA), any close above will push the pair towards 2.0451(38.2% fib).

• Strong support is seen at 2.0131 (23.6% fib) and break below could take the pair towards 2.0062 (Lower BB).

Recommendation: Good to sell  below 2.0250, with stop loss of 2.0140 and target price of 2.0000