GBP/NZD Found Resistance at 1.8880

GBP/NZD is one of the less popular pairs to trade, but just because a pair is not very popular does not mean that one cannot see good signals on its charts. In this case there is definitely a rather obvious signal for a move to the downside. 

GBP/USD has been climbing slowly and steadily for months now until it finally encountered resistance at 1.8880 and formed both a hanging man candlestick on the weekly time-frame and a very obvious double top around the same level on the daily and four-hour time-frames. Both these patterns are a signal for a move to the downside and should it occur the closest target will likely be at 1.8570, which is the (MA)89 indicator on the four-hour time-frame. A breakout below that level could lead to a further drop towards 1.8460.