• GBP /NZD dipped on Monday as encouraging economic data from China aided kiwi dollar.
• Strong lending data and fresh stimulus measures from China ,New Zealand’s biggest trading partner supported risk-sensitive currencies such as kiwi dollar.
• Bears are on course to force a daily close under 2.1107 (50%fib) support,That would open the pathway to much bigger losses towards at 2.1000 level.
• Technicals highlight downside risks. The 5, 9 and 11 day moving averages are trending south , daily RSI is bearish at 47.
• Immediate resistance is located at 2.1189 (5DMA), any close above will push the pair towards 2.1227(38.2%fib).
• Immediate support is seen at 2.1107 (50%fib) and break below could take the pair towards 2.1068(Lower BB).
Recommendation: Good to sell around 2.1140, with stop loss of 2.1290 and target price of 2.1030
