• GBP/NZD retreated from daily high on Friday as markets digested data showing Britain's economy failed to grow in the third quarter.
• Data showed Britain's stagnating economy failed to grow in the July-to-September period - but at least managed to avoid the start of a recession.
• GBP/NZD traded as high as 2,0790 before retreating to trade last at 2.0790
• A rally towards 2.0800 level is possible should GBP/NZD bulls overcome resistance at 38.2%fib.
• Technical signals are bullish as RSI is at 52, daily momentum studies 5, 9 and 14 DMAs are trending north.
• Immediate resistance is located at 2.0805 (38.2%fib ), any close above will push the pair towards 2.0875 (Oct 31st high).
• Strong support is seen at 2.0696 (50% fib) and break below could take the pair towards 2.0578 (61.8% fib)
Recommendation: Good to buy around 2.0730 , with stop loss of 2,0630 and target price of 2.0800
