As we can see this pair could also suffer from Pound weakness and in the process of testing rising wedge support that extends from the current 2018 low at 1.8616. Current wedge support is at 1.9300 and as you can see this area has attracted a bid over the last 48 hours. Apart from the rising wedge the recent swing high in May failed to retest resistance at 1.9840 which gives us additional credence to a bearish scenario. Of course, there are no guarantees and only an observation I’m making. Best is to wait for a daily close below 0.9300 before taking a sell if you are not in a sell already. The first support on a break of 1.9300 is at 1.9220 and this area also served as a pivot for the pair since late 2017. A break that would open up to 1.8900. There are several lows from Feb and March near 1.8900 as well as highs in April and May 2017. If we get a close below wedge support, which appears likely, we could see the pair fall 700p. Remember, be patient and disciplined!

GBPNZD DAILY - 23 MAY 2018

Source: MARYNA MURRAY

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