• GBP/NZD steadied around 2.0850 on Tuesday as sterling remained bid as ahead of UK CPI data for April.
•Wednesday's US CPI data is this week's key data event, flash PMI data on British business activity will follow the next day.
• The UK Consumer Price Index (CPI) inflation rate is anticipated to drop significantly to 2.1% year-on-year in April 2024, down from 3.2% in March 2024.
• Technical signals show the pair could gain more ground in the short-term as RSI is pointing up, daily momentum studies 5, and 9 DMAs are trending north.
• Immediate resistance is located at 2.0885 (23.6%fib), any close above will push the pair towards 2.0923 (May 6th high).
• Strong support is seen at 2.0790(38.2%fib) and break below could take the pair towards 2.0707 (50%fib)
Recommendation: Good to buy around 2.0840 with stop loss of 2.0700 and target price of 2.0940
