GBP/NZD Down 193 Pips, Price Base in Formation Over Past 14 Days; is Inching Close to 20 and 100 Day Averages

GBP/NZD Price Recap

GBP/NZD is down 193 pips (0.95%) since yesterday (with its current price near 2.00272), marking the 2nd day in a row a decline has happened. This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 8.65% from the day before — and down 21.89% from the same day the week before. Relative to other instruments in the Forex asset class, GBP/NZD ranked 39th yesterday in terms of percentage price change. The price chart of GBP/NZD below illustrates.

GBP/NZD Technical Analysis

Coming into today GBP/NZD is now close to its 20, 50 and 100 day moving averages, which may act as price barrier for the asset. 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 49.5 pips away. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. Also of note is that on a 14 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. Or to simplify this another way, note that out of the past 14 days GBP/NZD’s price has gone up 7 them.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPNZD, with 19 buy signals on our radar and 19 sell signals. This imputes a buy/sell ratio of 1, which is neutral. As for the rationale, technical traders seem to be citing the appearance of a trendline technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

After a rejection on 4HR, Looking to retrace and brake the trendline