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FxWirePro:GBP/NZD extends drop, faces 23.6%fib support

• GBP/NZD declined on Tuesday as   falling COVID-19 trend in New Zealand boosted kiwi dollar.

•  Kiwi dollar rose against pound as lockdowns in the country were seen successfully lowering new COVID-19 infections.

• Selling pressure will remain in the short-term, only a move above 1.96333 (50%fib) strong resistance  will shift the bias higher.

• Technical signals show the pair could lose more ground as RSI is at 36 bearish, and 9, 11,21 DMA’s are trending south.

• Immediate resistance is located at 1.9563(38.2%fib), any close above will push the pair towards 1.96333 (50%fib).

• Immediate support is seen at 1.9481 (23.6%fib) and break below could take the pair towards 1.9421 (14th May low).

Recommendation: Good to sell round 1.9520, with stop loss of 1.9640 and target price of 1.9450

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