GBP/NZD may rise 63 - 90 pips

Our pivot point stands at 2.0752.

Our preference

The upside prevails as long as 2.0752 is support.

Alternative scenario

The downside breakout of 2.0752 would call for 2.0706 and 2.0679.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 2.0686 and 2.0655). Finally, the GBP/NZD has crossed above its upper Bollinger band (2.0792).

Supports and resistances

2.0941 **

2.0913 *

2.0886 **

2.0859

2.0796 last

2.0770

2.0752 **

2.0706 *

2.0679 **

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