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FxWirePro :GBP/NZD resumes downside after failing to break above 5 DMA

• GBP/NZD dipped on Monday as higher commodity prices boosted commodity linked  kiwi dollar.

• Oil prices  rose after Saudi Arabia announced it would cut its output to 9 million barrels per day in July, from around 10 million bpd in May.

• The pair  picked up  downside momentum and is approaching 38.2%  fib. A close below will open up 2.0300 level.

• Immediate resistance is located at  2.0554 (5DMA), any close above will push the pair towards 2.0722 (23.6%  fib)

• Support is seen at 2.0485 (38.2%  fib) and break below could take the pair towards 2.0286 (50%  fib).

Recommendation: Good to sell  around 2.0500, with stop loss of 2.0600 and target price of 2.0430.

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