The New Zealand Dolla recovered earlier losses on Thursday and Friday this week after the market began to question some of the dovish assumptions underpinning Tuesday's steep sell-off, but studies of the charts suggest further weakness could be likely in the days ahead.
Technical studies suggest the outlook for the Pound against the New Zealand Dollar is positive, but much will depend on this week's cross-party Brexit talks as well as an highly-anticipated Reserve Bank of New Zealand meeting mid-week.
The Pound is on course for a further 7% gain over its Kiwi counterpart in 2019, according to analysts at Australia & New Zealand Banking Group (ANZ), who say the Antipodean unit will plumb new depths before the year is out as policymakers cut interest rates to fresh record lows.
The New Zealand Dollar was softer Wednesday after the first-quarter unemployment report reinforced the tide of negative sentiment towards the Kiwi, with weak wage growth seen by analysts as an incitement for the Reserve Bank of New Zealand (RBNZ) to cut its interest rate.
The Pound-to-New Zealand Dollar rate is trading at 1.9389 at the start of the new week after closing about a tenth of a percent lower on Friday, although the market remains within an uptrend that looks set to extend over the coming days.