• GBP/NZD declined on Tuesday as disappointing UK May CBI data weighed on sterling.
• Monday's BoE speakers tempered rate and taper views, which also added to bearish pressure on GBP/NZD .
• Underlying trend remains bearish. A break below 1.9503(50%fib) might spur fresh downward momentum.
• Technical signals are bearish as RSI has turned sharply lower, daily momentum studies 5, 9 & 10 DMAs track south.
• Immediate resistance is located at 1.9641 ( 38.2%fib), any close above will push the pair towards 1.9700 (PSyhological level).
•Strong support is seen at 1.9503(50%fib) and break below could take the pair towards 1.9432 (21 DMA).
Recommendation: Good to sell around 1.9570 with stop loss of 1.9670 and target price of 1.9490.
