GBP/NZD may fall 104 - 151 pips

Our pivot point stands at 2.1290.

Our preference

The downside prevails as long as 2.1290 is resistance.

Alternative scenario

Above 2.1290, look for 2.1369 and 2.1417.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 2.1292 and 2.1304).

Supports and resistances

2.1417 **

2.1369 *

2.1290 **

2.1258

2.1224 last

2.1120

2.1073 **

2.1025 *

2.0978 **

Number of asterisks represents the strength of support and resistance levels.