GBP/NZD may rise 59 - 86 pips

Our pivot point stands at 2.0778.

Our preference

The upside prevails as long as 2.0778 is support.

Alternative scenario

The downside breakout of 2.0778 would call for 2.0732 and 2.0704.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (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 2.0738 and 2.0677).

Supports and resistances

2.0958 **

2.0930 *

2.0903 **

2.0876

2.0817 last

2.0796

2.0778 **

2.0732 *

2.0704 **

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