GBP/NZD 2 Day Down Streak Ended; in an Uptrend Over Past 14 Days

GBP/NZD Price Recap

GBP/NZD enters today at 2.03484 in US dollars, up 153 pips (0.76%) from the day prior. The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was up 48.22% from the day prior, but down 22.18% from the same day the week before. Out of the 40 instruments in the Forex asset class, GBP/NZD ended up ranking 3rd for the day in terms of day-over-day price change. Let’s take a look at price chart of GBP/NZD.

GBP/NZD Technical Analysis

Notably, GBP/NZD is now close to its 20, 50 and 100 day averages, located at 2.009, 1.9885 and 1.9959 respectively, and thus may be at a key juncture along those timeframes. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 258.9 pips away. Volatility for GBP/NZD has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. The clearest trend exists on the 14 day timeframe, which shows price moving up over that time. For additional context, note that price has gone up 8 out of the past 14 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPNZD, with 4 buy signals on our radar and 22 sell signals. This imputes a buy/sell ratio of 0.18, which is quite bearish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Potential short position entry. Nearing a big resistant level. Fib retracements & 14 day RSI confirming.