• GBP/NZD declined sharply on Friday as sterling was weighed down by soaring inflation, recession risks.
• Sterling is on course for daily fall of nearly 0.60% versus the kiwi dollar, and next week the pair could further fall as rising energy prices could fuel social unrest across .
• Technical signals are bearish as RSI is heading down at 34, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.8926 (38.2%fib ), any close above will push the pair towards 1.8990 (9DMA).
• Strong support is seen at 1.8811 (23.6%fib) and break below could take the pair towards 1.8766 (Lower BB).
Recommendation: Good to sell on around 1.8830, with stop loss of 1.8900 and target price of 1.8740
