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FxWirePro:GBP/NZD falls after RBNZ agrees to reduce stimulus, faces 38.2%fib support

• GBP/NZD declined on Wednesday as kiwi dollar rose after RBNZ announced   to halt its pandemic-induced quantitative easing programme. 

• The Reserve Bank of New Zealand (RBNZ) kept its official cash rate at 0.25% but cut short a NZ$100 billion ($70 billion) bond buying programme.

• At GMT 16:01, the pair was trading 0.72% lower at 1.9717, after hitting daily low at 1.9682.

• Technical signals are bearish as RSI is at 49, daily momentum studies  5, 9 and 10 DMAs are trending down. 

• Immediate resistance is located at 1.9790(50%fib), any close above will push the pair towards 1.9772(23.6%fib).

• Immediate support is seen at 1.9697(38.2%fib) and break below could take the pair towards 1.9607(23.6%fib).

Recommendation: Good to sell round 1.9710, with stop loss of 1.9790 and target price of 1.9620
 

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