• GBP/NZD declined on Thursday as pound was negatively impacted after BoE signalled rate cuts.
• The Bank of England maintained current interest rates, but investors were encouraged by signs that more policymakers are leaning toward reducing borrowing costs in the near future.
• BoE decision announced that its MPC voted 7-2 to maintain interest rates at 5.25% . Deputy Governor Dave Ramsden joined Swati Dhingra in supporting a reduction to 5%.
• GBP/NZD focus is on 23.6%fib support, a break below will accelerate losses towards 2.0700 level.
• Immediate resistance is located at 2.0855 (38.2% fib), any close above will push the pair towards 2.0940 (50% fib).
• Strong support is seen at 2.0747(23.6%fib) and break below could take the pair towards 2.0705 (Lower BB).
Recommendation: Good to sell on around 2.0790 , with stop loss of 2.0900 and target price of 2.0700
