FxWirePro: GBP/NZD finds major support at 1.8588, break below to see weakness

GBP/NZD chart on Trading View used for analysis

• GBP/NZD is extending weakness for the 4th straight session, trades 0.08% lower on the day at 1.8618 at the time of writing.
   
• Pound depressed as Brexit headlines continue to point to a March exit with the current deal or no deal. 
   
• Carney repeated BoE's warning about the risk that the UK is not prepared for such a scenario.
   
• Further, UK Consumer Confidence fell to 11 months low of -13 in Nov according to CFK, adding pressure on the Pound.
   
• Technical analysis supports bearish bias. Price action below cloud and major moving averages.
   
• The pair has slipped below and remains capped at 110-W EMA. Momemtum studies highly bearish.
   
• Decisive breach at major support at 1.8588 to see dip till 61.8% Fib at 1.8143.

Support levels - 1.8588 (trendline, weekly cloud base and 50% Fib), 1.8143 (61.8% Fib) 

Resistance levels - 1.8721 (5-DMA), 1.9166 (110W EMA), 1.9395 (200-DMA)

Recommendation: Stay short on upticks, SL: 1.90, TP: 1.8588/ 1.8143 

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.