• GBP/NZD strengthened on Tuesday as sterling gained on optimism that political and economic turmoil will calm following the appointment of Rishi Sunak as UK PM.
• Markets now await Finance Minister Jeremy Hunt's budget on October 31 to know about how the government plans to plug a 40 billion pound hold in Britain's public finances.
• At GMT 18:47, the pair was trading 0.72% higher at 1.9929 .
• Technical signals highlight upside bullish trend as daily RSI is at 58, daily momentum studies, 5, 10 and 11 are trending north.
• Immediate resistance is located at 2.0004 (23.6 % fib), any close above will push the pair towards 2.0178(Oct 18th high).
• Immediate support is seen at 1.9749(21DMA) and break below could take the pair towards 1.9667 (38.2 % fib).
Recommendation: Good to buy on dips around 1.9910, with stop loss of 1.9810 and target price of 2.0020.
