• GBP/NZD declined on Wednesday as New Zealand dollar was boosted by strong commodities prices and buoyant risk sentiment.
•The pair reaches 2.0230 after extending south from 2.0398 (early Asia high). 2.0230 is the lowest level since Jan 27th.
• Technical signals show the pair could lose more ground in the short-term as RSI is at 55 bearish, daily momentum studies 5, 10 and 21 DMAs are trending down.
• Immediate resistance is located at 2.0333 (38.2%fib),any close above will push the pair towards 2.0375 (9DMA ).
• Immediate support is seen at 2.0202 (50% fib) and break below could take the pair towards 2.0076 (61.8%fib ).
Recommendation: Good to sell below 2.0260, with stop loss of 2.0330 and target price of 2.0170
