• GBP/NZD initially dipped but recovered ground as investors awaited UK employment ,inflation data and Reserve Bank of New Zealand's policy decision .
• The Reserve Bank of New Zealand is set to meet on Wednesday, with a 50 basis point rate cut to 3.75% widely expected.
• A 50 basis point cut in the official cash rate has been widely anticipated by the RBNZ, with economists citing rising unemployment, slowing economic growth, and inflation staying within the target band as key reasons for another cut.
• Traders are also awaiting this week's UK employment and inflation data for clues on future UK monetary policy.
• Immediate resistance is located at 2.2305(38.2%fib ), any close above will push the pair towards 2.2180 (23.6%fib).
• Strong support is seen at 2.1905 (50%fib) and break below could take the pair towards 2.1787(61.8%fib).
Recommendation: Be on sidelines
