• GBP/NZD declined on Friday as GBP was weighed down by weak domestic retail sales data and hawkish rhetoric from major central banks.
• British retail sales slid unexpectedly in November, retail sales volumes dropped by a month-on-month 0.4% from October.
• The is pair heading towards the 38.2%fib, as near term direction of the pair is likely to be driven by current price action.
• Technical signals are bearish as RSI is heading down at 39 , daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.9162 (50%fib ), any close above will push the pair towards 1.9240 (Higher BB).
• Strong support is seen at 1.8999(38.2%fib) and break below could take the pair towards 1.8924 (29th Sep low).
Recommendation: Good to sell on around 1.9030 with stop loss of 1.9120and target price of 1.8960
