GBP/NZD reversed from resistance zone
By: Dmitriy Chernovolov
- GBP/NZD reversed from resistance zone
- Next sell target - 2.1400
GBP/NZD continues to decline – following the earlier downward reversal from the resistance zone lying between the strong resistance level 2.1400 (which stopped the previous waves (iv) and (a)), upper daily Bollinger Band and the 50% Fibonacci correction of the previous sharp downward impulse wave from the start of January, as can be seen from the daily GBP/NZD chart below. The downward reversal from this resistance zone stopped the (c)-wave of the active minor ABC correction (ii) from April.
Given the strength of the resistance level 2.1400 - GBP/NZD is likely to fall further to the next sell target at the support level 2.1000. Sell stop-loss can be placed above the resistance level 2.1400.