- GBP/NZD built on its bullish trajectory after break above 200W SMA, bias higher.
- The pair is on track to extend winning streak for the 3rd straight session.
- Brexit optimism helped the pair to continue gaining positive traction.
- The pair is trading largely muted on the day. We see bearish divergence on Stochs which raises scope for minor pullback.
- Technicals on weekly charts are biased higher. Price action has broken above 200W SMA.
- The pair has tested 38.2% Fib at 2.0 before paring some gains to currently hover at 1.9930.
- Scope for further upside, test of 2.0433 (Jan 2014 high) then likely.
- On the flip side, retrace below 200W SMA will negate bullish bias.
Support levels - 1.9939 (5-DMA), 1.9629 (21-EMA), 1.9736 (200W SMA)
Resistance levels - 2.0 (38.2% Fib), 2.0433 (Jan 2014 high), 2.1011 (50% Fib)
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at -32.9275 (Neutral), while Hourly NZD Spot Index was at 27.0931 (Neutral) at 1135 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.