• GBP/NZD initially gained but gave up ground as the pair weighed down by geopolitical concerns.
•Ukraine fired a volley of British Storm Shadow cruise missiles into Russia on Wednesday, a day after it fired U.S. ATACMS missiles.
• Ukraine’s launch of British Storm Shadow cruise missiles into Russia marks a significant escalation in the ongoing conflict
• The intensification of Russia-Ukraine tensions has led currency markets to fluctuate between headlines.
• Technicals are favoring bearish sentiment as RSI is at 44 and the pair is trading below 5,10 & 11-SMAs.
• Immediate resistance is located at 2.1575(50% fib), any close above will push the pair towards 2.1612 (21SMA)
• Strong support is seen at 2.1456(38.2% fib)and break below could take the pair towards 2.1309 (23.6% fib).
Recommendation: Good to sell around 2.1540, with stop loss of 2.1650 and target price of 2.1450
