• GBP/NZD steadied around 2.3350 on Thursday as traders assessed tensions in the Middle East and awaited new catalyst.
• Oil prices rose more than 4% after Yemen's Iran-backed Houthis fired missiles at Saudi Arabia and diplomatic talks between the US and Iran showed little sign of progress.
• Bank of England Deputy Governors Clare Lombardelli and Sarah Breeden hinted at the possibility of future interest rate hikes, while BoE Monetary Policy Committee member Swati Dhingra said winter will be key for judging UK inflation risks.
• Traders are now fully pricing in at least one 25-basis-point interest-rate hike by the Bank of England this year.
• Immediate resistance is located at 2.3507 (23.6%%fib), any close above will push the pair towards 2.3649(Higher BB).
• Immediate support is seen at 2.3260(38.2%fib) and break below could take the pair towards 2.3212(SMA20).
Recommendation: Good to buy around 2.3300, with stop loss of 2.3200 and target price of 2.3380
