FxWirePro: GBP/NZD downtrend slows, but bearish sentiment remains

• GBP/NZD initially dipped    but recovered some ground  as investors digested cooler-than-expected inflation report   amid ‌rising Middle East tensions.

• June CPI showed inflation cooled more than expected, driven largely by easing energy prices amid signs of progress in U.S.-Iran peace talks last month.

•U.S. CPI rose by a lower-than-expected 3.5% year-over-year in June, down from 4.2% in May, and fell 0.4% monthly largely driven by retreating gasoline prices following the fragile U.S.-Iran ceasefire in June

• Following the CPI report, markets priced an 83.4% chance the Fed holds rates steady in July up from 58.3% on Monday while still expecting at least one 25-bps hike by year-end, per CME's FedWatch.

•Investor attention now turns to UK ⁠markets is now on Andy Burnham, who is set to replace Keir Starmer as prime minister on July 20, and his ​choice of finance minister.

• Immediate resistance is located at 2.3149(50%fib), any close above will push the pair towards 2.3332(38.2%).

• Immediate support is seen at 2.2985(61.8%fib) and break below could take the pair towards 2.2889(Lower BB).

Recommendation: Good to sell around 2.3080  with stop loss of 2.3130 and target price of 2.3000