A big looking level down at 1.7700 is in trouble
Not one I look at often, at all in fact but from the comments it looks like a few of you are. There's really only one level in play right now and that's the 1.7700 level.
GBPNZD daily chart
We've had a break today down to a new all time low of 1.7614. This pair is a bit of a wild horse in terms of volatility, and intraday pip counts so although that new low is potentially significant, 100 pip swings is the norm for this pair so one that needs a wide birth in terms of trade planning. This is not one for 5-10 pip stops.
Despite that, it is looking an important level and staying above today could be an important move. If we see the level break, and it's confirmed by holding a re-test of 1.7700, then we could be seeing a much deeper drop coming up. There's not a lot technically underneath 1.77 until the 1.69's, and the nearest resistance is up at the 1.82's.
GBPNZD quarterly chart
Sometimes a technical picture is pure simplicity, and this is one of those times. Stay above 1.77 and the price goes up, hold below and down we go.
