- GBP/NZD building up for a re-run to the downside.
- The weekly bear trend intact below crical resistance.
In a follow up to the prior analysis, GBP/NZD Price Analysis: The dynamic support is critical, the price has extended to the upside for deeper penetration into the Fibonacci retracement levels.
However, the test of the 61.8% and the confluence of the M-formation’s neckline resistance would be expected to hold.
This then gives rise to the prospects of a downside continuation in the next leg of the weekly bear trend:
Daily chart
This is now a critical level of resistance and failures here should confirm the downside narrative.
4-hour chart
Bears would be prudent for confirmations of a bearish environment on the 4-hour chart until committing to the downside.