• GBP/NZD dipped on Monday as rekindling recession fears in the UK and escalating middle east tensions weighed on sterling .
• The conflict in the Middle East comes at a time when markets are jittery and bond yields around the world are at multi-year highs..
• Underlying trend for the pair remains bearish. A break below 1.8948 (23.6%fib) might spur increased downward momentum.
• Technical signals are bearish as RSI is trending down at 30, daily momentum studies 5, 9 and 10 DMAs are pointing southwards.
• Immediate resistance is located at 2.0431(38.2%fib), any close above will push the pair towards 2.0431(50%fib).
• Strong support is seen at 2.0288 (23.6%fib) and break below could take the pair towards 2.0103 (Lower BB).
Recommendation: Good to sell around 2.0350 with stop loss of 2.0500 and target price of 2.0250
