• FxWirePro: GBP/NZD struggles to close below 55-ema, GBP bulls resurface on soft Brexit hopes

    Source: FxWire Pro - Technicals / 22 Oct 2018 03:06:03   America/New_York

    GBP/NZD chart on Trading View used for analysis

    • GBP/NZD struggles to close below 55-EMA on Friday's trade.
    • The pair is trading 0.09% higher on the day as sterling bulls buoyed on soft Brexit hopes.
    • UK Prime Minister Theresa May, is on Tuesday, slated to address the UK's parliament in a bid to shore up political support back home. 
    • Clearing through the Breixit hurdle would help the BoE act accordingly should the economy warrant an interest rate hike.
    • Momentum studies are bearish, we see no major signs of reversal. 
    • Bearish divergence on RSI and Stochs keeps scope for downside. Decisive break below 55-EMA to see further weakness.

    Call update: Our previous call (https://www.econotimes.com/FxWirePro-GBP-loses-ground-after-UK-CPI-print-good-to-short-GBP-NZD-on-upticks-1444660) has hit TP1.

    Recommendation: Book partial profits at lows. Watch out for break below 55-EMA for further weakness.

    For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex

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