FxWirePro:GBP/NZD falls on dovish BOE statement,vulnerable to more downside

• GBP/NZD dipped sharply lower on Thursday after Bank of England kept  its stimulus plan unchanged and maintained its key interest rate at a historical low of 0.1% as expected..

• GBP/NZD fell from session highs near 1.9813 to 1.9660 after the MPC's tone clashed with recent upbeat data and aggressive rhetoric from Bank of England members Andy Haldane and Gertjan Vlieghe.

• Underlying trend for the pair remains bearish. A break below 1.9649 (38.2%fib) might spur increased downward momentum..

• Technicals are favouring bearish sentiment as RSI heading down and the pair is trading below  5,9 & 11-DMAs.

• Immediate resistance is located at 1.9735 ( 50%fib), any close above will push the pair towards 1.9818 (61.8%fib).

• Strong support is seen at 1.9649 (38.2%fib) and break below could take the pair towards 1.9549 (23.6%fib).

Recommendation: Good to sell around 1.9750, with stop loss of 1.9820 and target price of 1.9600.