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FxWirePro: GBP/NZD rebounds ahead of UK CPI report , critical resistance lies ahead

• GBP/NZD   rose on Monday  as sterling attracted buyers  ahead this week's UK CPI print.

• Data expected on Wednesday is projected to show that the UK's headline rate of inflation dropped significantly to 2.1% in April, down from 3.2% in March.

• A close above 38.2%fib will  trigger a new bullish phase with potential for 2.0900

• Technical signals   are bullish as RSI is    trending up, moving averages 5,9 ,11DMA’s trending north.

• Immediate resistance is located at 2.0850 (38.2%fib), any close above will push the pair towards 2.0890 (May 14th high).

• Immediate support is seen at 2.0770 (50%fib) and break below could take the pair towards 2.0690 (50%fib).

 Recommendation: Good to buy around 2.0790, with stop loss of 2.0680 and target price of 2.0880

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