FxWirePro: GBP/NZD gains some upside momentum but still bearish

• GBP/NZD firmed on Monday as  investors  digested UK PMi data  and awaited Thursday’s Bank of England policy meeting.

• The BoE is expected to pause its rate-cutting cycle on Thursday, though recent softer inflation and wage data could strengthen the case for a cut.

• British factories reported their strongest month in a year in October, though the improvement was largely attributable to Jaguar Land Rover resuming production after a cyberattack, the S&P Global PMI data showed.

•The S&P Global Purchasing Managers' Index for Britain's manufacturing sector climbed to 49.7 from 46.2 in September and up slightly from a provisional estimate for October of 49.6.

• The headline PMI index for Britain's manufacturing sector, which accounts for around 9% of total economic output in the country, has been in negative territory since October 2024.

The BoE is expected to pause its rate-cutting cycle on Thursday, though recent softer inflation and wage data could strengthen the case for a cut.

• Immediate resistance is located at 2.3152 (38.2%fib), any close above will push the pair towards 2.3198 (SMA 20).

• Immediate support is seen at 2.2875(38.2%fib) and break below could take the pair towards 2.2740 0(Lower BB).

Recommendation: Good to sell around 2.3080, with stop loss of 2.3180, and target price of 2.3000