• GBP/NZD recovered some ground on Thursday as bids emerged around 1.9800 after BoE raises rates by 25 bps to 4.5%.
• The Bank of England raised its bank rate for the 12th consecutive time but its decision had been expected
• The is pair recovered some ground, but gains were capped just below 5DMA
• Technical signals are bearish as RSI is heading down at 43 , daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.9913 (5DMA ), any close above will push the pair towards 2.0020 (38.2%fib).
• Strong support is seen at 1.9805(50%fib) and break below could take the pair towards 1.9705 (Lower BB).
Recommendation: Good to sell on around 1.9920 with stop loss of 2.0100 and target price of 1.9830
