• GBP/NZD firmed on Monday as RBNZ’s cautious stance continues to undermines kiwi dollar .
• The kiwi has faced selling pressure since the RBNZ lifted its cash rate earlier this month, while signaling a gradual approach to additional rate increases.
• Markets continue to anticipate another rate hike in October, with the recent rise in oil prices adding to inflationary pressures.
• RBNZ Governor Anna Breman is scheduled to provide an economic update on Tuesday, with investors likely to focus on her comments for further clues about the central bank’s monetary policy outlook and the future path of interest rates.
•U.S. and Iran exchanged fresh threats as Houthi forces launched an attack on Saudi Arabia’s capital, Riyadh, adding to geopolitical tensions in the Middle East. Developments in the region remain a key focus for markets, particularly given their potential impact on oil prices and broader risk sentiment.
• Immediate resistance is located at 2.3394(38.2%fib), any close above will push the pair towards 2.3543(23.6%fib).
• Immediate support is seen at 2.3279 (50%fib) and break below could take the pair towards 2.3165 (61.8%fib).
Recommendation: Good to buy around 2.3350, with stop loss of 2.3250 and target price of 2.3500
