Short GBP/NZD below 50-DMA
The pound sterling is extending weakness, remains on the back foot ahead of UK employment data due later today.
Pound largely ignores UK data released yesterday which showed inflation rose to 6-year high in November. Technical studies favors downside in the pair.
GBP/NZD has failed at 200W SMA, bears eye 50-DMA at 1.9092 which is immediate support.
We see successive spinning top and Doji formation at highs which reinforce weakness in the pair.
An upbeat jobs data and wage growth numbers could help the Pound gain some strength.
Focus also remains on PM May's parliamentary showdown with Brexit rebels which could impact the pair.
Support levels - 1.9098 (23.6% Fib retrace of 1.67049 to 1.98383 rally), 1.9092 (50-DMA), 1.8561 (100-DMA)
Resistance levels - 1.9399 (5-DMA), 1.9416 (5W SMA), 1.9427 (20-DMA)
Good to go short on break below 50-DMA at 1.9092, SL: 1.94, TP: 1.8785/ 1.8641/ 1.8350.
Pound largely ignores UK data released yesterday which showed inflation rose to 6-year high in November. Technical studies favors downside in the pair.
GBP/NZD has failed at 200W SMA, bears eye 50-DMA at 1.9092 which is immediate support.
We see successive spinning top and Doji formation at highs which reinforce weakness in the pair.
An upbeat jobs data and wage growth numbers could help the Pound gain some strength.
Focus also remains on PM May's parliamentary showdown with Brexit rebels which could impact the pair.
Support levels - 1.9098 (23.6% Fib retrace of 1.67049 to 1.98383 rally), 1.9092 (50-DMA), 1.8561 (100-DMA)
Resistance levels - 1.9399 (5-DMA), 1.9416 (5W SMA), 1.9427 (20-DMA)
Good to go short on break below 50-DMA at 1.9092, SL: 1.94, TP: 1.8785/ 1.8641/ 1.8350.
