FxWirePro: GBP/NZD rejected at 200-DMA, 'Spinning top' formation raises scope for weakness

GBP/NZD chart on Trading View used for analysis 

• GBP/NZD trades 0.28% lower on the day at 1.9234 at 1226 GMT.
   
• Recovery in the pair has failed at 200-DMA, bearish invalidation only on breakout above.
   
• We evidence a spinning top formation at highs, raising scope for weakness.
   
• Price action has dipped below 5-DMA and further weakness eyes 110-EMA at 1.9117.
   
• Break below 110-EMA will see weakness till 38.2% Fib at 1.9020.
   
• On the flipside, decisive breakout above 200-DMA will see gains till 61.8% Fib at 1.9574.

Support levels - 1.9075 (Jan 23 high), 1.9020 (38.2% Fib)

Resistance levels - 1.93 (200-DMA), 1.9574 (61.8% Fib)

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.