• The GBP/NZD currency pair edged lower on Monday, but the downside was limited as traders awaited key economic data from the UK that could influence the BoE’s interest rate outlook.
• The upcoming UK labor market report on Tuesday, the July CPI report on Wednesday, and the Q2 GDP report on Thursday are crucial for the Bank of England's assessment of inflation risks.
• GBP/NZD remains well below 2.1314 ( 38.2%fib),Daily close below 50%fib wil increase the scope for much bigger drop.
• Immediate resistance is located at 2.1288 (Daily high), any close above will push the pair towards 2.1367(50%fib).
• Immediate support is seen at 2.1136(38.2%fib) and break below could take the pair towards 2.0963 (Lower BB).
Recommendation: Good to sell around 2.1220, with stop loss of 2.1350 and target price of 2.1150
