• GBP/NZD slipped lower on Wednesday as kiwi dollar surged against pound after on strong employment data
• Statistics New Zealand reported that the nation's jobless rate rose to 4.6% in the second quarter, up from an upwardly revised 4.4% in the previous three months. Meanwhile, employment increased by 0.4% compared to the prior quarter.
• The positive employment report has diminished market expectations of a rate cut from the Reserve Bank of New Zealand.
• GBP/NZD fell to 2.1110 close to the 50% fib. A break under 50% fib would unmask 2.1000 level in the short term.
• Strong resistance is located at 2.1253 (38.2% fib), any close above will push the pair towards 2.1436 (23.6% fib)
• Immediate support is at 2.1096 (50% fib) and break below could take the pair towards 2.0940 (61.8% fib).
Recommendation: Good to sell around 2.1170, with stop loss of 2.1300 and target price of 2.1050
