• GBP/NZD dipped on Wednesday as investors remained short as market awaited news on the progress of trade talks between Britain and the European Union.
• At GMT 18:30, the pair was trading down 0.36 percent at 1.9145 after reaching daily low at 1.9125.
• GBP/NZD is likely to correct to the downside, melting below 23.6%fib support at 1.9052 and then the lower BB at 1.8995.
• Technicals are favouring bearish sentiment as RSI is at 41 and the pair is trading below 11 & 21-DMAs.
• Immediate resistance is located at 1.9179 (5DMA), any close above will push the pair towards 1.9281 (38.2%fib)
• Immediate support is seen at 1.9052(23.6%fib ) and break below could take the pair towards 1.9000 (Psychological level).
Recommendation: Good to sell around 1.9180, with stop loss of 1.9300 and target price of 1.9080.
