FxWirePro:GBP/NZD caught in narrow range ahead of Bank of England meeting

• GBP/NZD briefly strengthened on Wednesday but lost momentum as markets awaited Thursday’s Bank of England meeting.

• The Bank of England is widely expected to hold rates steady on Thursday, but recent signs of easing inflation and wage growth could increase pressure for a rate cut.

• A survey on Wednesday showed that output and new orders in the UK services sector increased last month, while expectations for the next 12 months hit their highest since October 2024.

• The S&P Global UK Services PMI rose to 52.3 in October from 50.8 in September, exceeding the preliminary “flash” estimate of 51.1.

• The upbeat survey of Britain’s key services sector is positive news for Finance Minister Rachel Reeves, who has prioritized growth ahead of potential tax hikes in her November 26 budget.

• Immediate resistance is located at 2.3169 ( SMA 20), any close above will push the pair towards 2.3206 (38.2% fib).

•  Immediate support is seen at 2.2981(38.2% fib) and break below could take the pair towards 2.2824 (Lower BB).

• Recommendation: Good to sell around 2.3050, with stop loss of 2.3180 and target price of 2.2900