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FxWirePro:GBP/NZD drops below 2.0700 level as bearish pressure increases

• GBP/NZD slipped lower on Monday as drop was  aided by weak US may ISM manufacturing PMI data.

• The U.S. Institute for Supply Management (ISM) said its purchasing managers index (PMI) for manufacturing fell to 48.7 in May, from 49.2 in April.

• At GMT 16:14, the pair was trading down 0.29 percent  at 2.0681 after reaching daily low at 2.0650.

• Technical signals show the pair could lose more ground as RSI is   lower at 39, and 5 and 9 DMA’s are trending south.

• Immediate resistance is located at 2.0760( 50%fib), any close above will push the pair towards 2.0760 ( May 31st high).

• Immediate support is seen at 2.0649 (38.2%fib) and break below could take the pair towards 2.0512(50%fib).

Recommendation: Good to sell round 2.0700, with stop loss of 2.0850 and target price of 2.0630

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