• GBP/NZD dipped on Monday as investors awaited key economic data due later this week that could make or break the case for more rate cuts from the Bank of England.
• Tuesday’s labour market data and Wednesday’s inflation figures will take center stage, as recent political uncertainty surrounding Prime Minister Keir Starmer’s government has eased for the time being.
• Meanwhile, political tensions in the United Kingdom eased after the Labour Party voiced support for Prime Minister Keir Starmer, who last week pledged to stay in office amid controversy over his selection of Peter Mandelson as the UK’s ambassador to the United States.
• Strong resistance is located at 2.2638(38.2% fib), any close above will push the pair towards 2.2726 (SMA 20
• Immediate support is at 2.2473(23.6% fib) and break below could take the pair towards 2.2394 (Lower BB).
Recommendation: Good to sell around 2.2600, with stop loss of 2.2670 and target price of 2.2520
