GBP/NZD

The New Zealand Dollar dipped on Friday after data released overnight showed a slight slowdown in shop sales in the fourth quarter of 2016.

GBP/NZD is stuck in a range between 1.68 and 1.75.

GBP/NZD is trading in a range roughly between 1.68/70 and 1.75 and may also be tapering to a point within that range as its constituent waves narrow.

GBP/NZD is trading in a range roughly between 1.75 and 1.70 and may also be tapering to a point within that range as its oscillations narrow.

GBP/NZD appears to be resuming its short-term downtrend after temporarily pulling back up to 1.7400 -  and it has now moved down to support at 1.7000.

 The GBP/NZD has a bearish technical bias after breaking below the trendline for the move up from the mid-Jan lows.

There is little to obstruct a continuation of the young uptrend higher until you reach the S1 monthly pivot at 1.7520 and the 50-day MA in the 1.7580s.

We remain cautiously bullish and a break above the 1.7310 level would probably signal a continuation higher.

The Pound to New Zealand Dollar defied expectations of further upside and broke down out of the consolidation pattern it was in instead.

GBP/NZD is consolidating between 1.7400 and 1.8000, but from both a fundamental and technical POV it is expected to breakout to the downside.

The Bank of England Interest Rate meeting is top of the agenda for this currency pair in the next week.

Although the New Zealand Dollar is trading 29% above ‘fair value’ versus the Pound this no reason to see at a sell, argues BNZ’s Stephen Toplis.