FxWirePro: GBP/NZD slips as market sentiment shifts in favor of riskier assets

• GBP/NZD slipped lower  on Friday as kiwi dollar outperformed pound as risk appetite increased on optimism around a potential resolution of the U.S.-China trade dispute.

• Demand for riskier assets increased on Friday after Beijing revealed it was reviewing Washington’s proposal for discussions on U.S. tariffs.

• This week, several indications emerged suggesting that the U.S. and China are taking steps to ease their trade conflict, following President Donald Trump's decision to impose severe tariffs.

• Technical signals are bearish as RSI bearish at 45, and daily momentum studies  5, 9 and 11 DMAs are trending down. 

• Immediate resistance is located at 2.2407(38.2%fib ), any close above will push the pair towards 2.2496 (SMA21).

• Strong support is seen at 2.2276(Daily low) and break below could take the pair towards 2.21555 (23.6%fib).

Recommendation: Good to sell   around 2.2350, with stop loss of 2.2450 and target price of 2.2260