FxWirePro:GBP/NZD remains bullish as rally continues
• GBP/ NZD rose on Thursday as gains driven by New Zealand dollar weakness as traders shrugged off Wednesday’s dismal UK GDP data.
• New Zealand dollar slipped after Reserve Bank of New Zealand surprised many by expanding its bond buying campaign.
• At GMT 17:45, the pair was trading 0.63% higher at 1.9934, highest since 2nd June.
• GBP/NZD remains bullish, only a break and daily close below 1.9722 (14 DMA) will shift bias to the downside.
• Technicals favours uptrend, daily RSI is at 60, daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.9981(200 DMA ), any close above will push the pair towards 2.0070 (23.6% fib).
• Strong support is seen at 1.9870 (38.2% fib) and break below could take the pair towards 1.9820 (5DMA).
Recommendation: Good to buy around 1.9900, with stop loss of 1.9700 and target price of 2.0100.