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FxWirePro: GBP/NZD bull lose traction, cannot add to overnight gains

• GBP/NZD retreated from daily high on Friday  as markets digested data showing Britain's economy failed to grow in the third quarter.

• Data showed Britain's stagnating economy failed to grow in the July-to-September period - but at least managed to avoid the start of a recession.

• GBP/NZD traded as high as 2,0790  before retreating to trade last  at 2.0790  

• A rally towards 2.0800  level is possible should GBP/NZD bulls overcome resistance at 38.2%fib. 

• Technical signals are bullish as RSI is at 52, daily momentum studies  5, 9 and 14 DMAs are trending north. 

• Immediate resistance is located at 2.0805  (38.2%fib ), any close above will push the pair towards 2.0875  (Oct 31st high).

• Strong support is seen at 2.0696  (50% fib) and break below could take the pair towards 2.0578 (61.8% fib)

Recommendation: Good to buy  around 2.0730 , with stop loss of 2,0630  and target price of 2.0800
 

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