• GBP/NZD declined on Thursday as investors remained short as the perceived risk of no EU-UK trade deal increased.
• At GMT 18:30, the pair was trading down 1.76 percent at 1.8793 after reaching daily low at 1.8741.
• GBP/NZD is likely to correct to the downside, melting below 38.2%fib support at 1.8758 and then 23.6 % fib at 1.8570.
• Technicals are favouring bearish sentiment as RSI is at 35 and the pair is trading below 11 & 21-DMAs.
• Immediate resistance is located at 1.8905 (50%fib), any close above will push the pair towards 1.89631 (5DMA)
• Immediate support is seen at 1.8758 (38.2%fib ) and break below could take the pair towards 1.8570 (23.6%fib).
Recommendation: Good to sell around 1.8750, with stop loss of 1.8900 and target price of 1.8600.
