FxWirePro: GBP/NZD bulls need more gains to zero in on key fibo resistance

• GBP/NZD initially dipped on Wednesday but later recovered as global risk appetite improved, supported by cautious optimism over the fragile ceasefire between Israel and Iran.

• The easing of geopolitical tensions encouraged investors to move away from safe-haven assets, boosting demand for risk-sensitive currencies.

• Bank of England Governor Andrew Bailey said Tuesday that the labour market is showing clearer signs of cooling and reaffirmed that interest rates are likely to fall in the coming months.

• Money markets currently price in an 80% probability of a Bank of England rate cut in August, reflecting growing expectations of policy easing amid signs of a cooling UK economy.

• Technical signals are  strongly bullish as RSI is   at 55, daily momentum studies  5, 9 and 11 DMAs are trending up.

• Immediate resistance is located at 2.2699(Higher BB), any close above will push the pair towards 2.2767(50% fib).

• Strong support is seen at 2.2527(61.8% fib) and break below could take the pair towards 2.2487(20SMA).

Recommendation: Good to buy   around 2.2600, with stop loss of 2.2510 and target price of 2.2700