• GBP/NZD dipped on Tuesday as caution set in ahead of Fed policy meeting on Wednesday where the Federal Reserve is expected to cut interest rates.
• Traders are still betting on a 63% probability that the Fed will cut rates by 50 basis points on Wednesday and a 37% probability of a 25 basis point cut, according to CME Group's FedWatch tool.
• GBP/NZD drifted back into negative territory. 2.1264 is low so far is and it is hovering just above 50%fib support.
• Technical signals favours bearish sentiment, RSI is at 49 and pair trades below 5,9 & 11-DMAs.
• Resistance is located at 2.1386 ( 38.2%fib) and at 2.1435 (Higher BB).
• Support is found at 2.1213 (50%fib) and at 2.1021 (61.8%fib).
Recommendation: Good to sell around 2.1280, with stop loss of 2.1350 and target price of 2.1200
