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FxWirePro: GBP/NZD attracts selling interest, could be on verge of a bigger drop

• GBP/NZD dipped on Tuesday as weaker sterling and higher commodity prices boosted commodity-linked  New Zealand dollar.

• GBP/NZD drifted back into negative territory on Tuesday . 1.9605 is low so far is  and it is hovering just above 38.2%fib into the US afternoon.

• A daily close below 38.2%fib will accelerate downtrend towards 1.9500 (Psychological level).

• Technical signals  favours  bearish sentiment, RSI is has turned sharply lower and pair trades below 5,9  & 11-DMAs.

• Resistance is located at 1.9754 ( Daily high) and at 1.9828 (23.6%fib).

• Support is found at 1.9580( 38.2%fib) and at 1.9510 (21DMA).

Recommendation: Good to sell   around 1.9600, with stop loss of 1.9700 and target price of 1.9520


 

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