FxWirePro: GBP/NZD caws back some losses but recovery muted

• GBP/NZD initially dipped but recovered some ground    as traders digested UK business activity data and remarks from Bank of England governor Andrew Bailey.

•  Bank of England Governor Andrew Bailey warned on Friday that relaxing financial regulations as the memory of past crises fades could be risky, emphasizing that central banks must stay alert to new potential threats.

• British factory activity fell at the fastest pace in five months in September, weighed down by weak domestic demand and fewer export orders, a survey showed

• The S&P Global Services PMI for the UK fell sharply to 50.8 in September from 54.2 in August, marking its lowest level since April

• Technicals leans bullish as RSI is at 58 bullish, and  9,11 and 14 DMA’s are trending up.

• Immediate resistance is located at 2.3218 (Daily high ), any close above will push the pair towards 2.3240(23.6%fib).

• Strong support is seen at 2.3051 (38.2% fib) and break below could take the pair towards 2.2988 (SMA 20).

Recommendation: Good to buy  around 2.3100, with stop loss of 2.3000 and target price of 2.3180