• GBP/NZD declined on Monday as kiwi dollar was buoyed by the robust performance of the performance of services index .
• According to the latest survey from Business NZ released on Monday, the services sector in New Zealand rebounded into expansion territory in January, registering a Performance of Services Index score of 52.1.
• A close below support at 38.2%fib will give further momentum to bears, opening the way for a run towards 2.0450 level.
• Technical signals show the pair could lose more ground as RSI is at 43, and 9, 11,21 DMA’s are trending south.
• Immediate resistance is located at 2.0573(Daily high), any close above will push the pair towards 2.0633 (23.6%fib).
• Immediate support is seen at 2.0465 (38.2%fib), break below could take the pair towards 2.0411 (Jan 15th low).
Recommendation: Good to sell around 2.0490 with stop loss of 2.0650 and target price of 2.0400
