• GBP/NZD strengthened on Monday as expectations that the Bank of England could hike interest rates early next year gave some support to sterling.
• GBP/NZD rallies away from 38.2%fib but the rally stalls near 30EMA. A close above 50%fib would open the way for a run towards 1.9642 (50DMA)
• Technical signals are bullish RSI implies upward shorter-term momentum is in place,while moving averages are tending higher
• Immediate resistance is located at 1.9580( 50%fib), any close above will push the pair towards 1.9642 ( 50DMA).
• Strong support is seen at 1.9474 (38.2%fib) and break below could take the pair towards 1.9400(16th Sep low).
Recommendation: Good to buy around 1.9530, with stop loss of 1.9400 and target price of 1.9600
