• GBP/NZD initially dipped on Thursday but recovered some ground as broad kiwi dollar weakness helped the pound shrug of weak UK services sector data.
• The S&P Global/CIPS UK Services Purchasing Managers' Index (PMI) for December was revised down to 49.9 from an earlier flash reading of 50.0,
• At GMT 18:36, the pair was trading 0.30% lower at 1.9089, slightly higher from daily low of 1.9026
• Technical signals are bullish as RSI is at 45, daily momentum studies 5,9,21 DMA are trending south.
• Immediate resistance is located at 1.9124 (14DMA ), any close above will push the pair towards 1.9230 (38.2%fib).
• Strong support is seen at 1.9018 (50%fib) and break below could take the pair towards 1.8944 (Lower BB).
Recommendation: Good to sell around 1.9100 with stop loss of 1.9180 and target price of 1.9000
