• GBP/NZD strengthened on Wednesday after data showed Britain's inflation peaked more than nine years last month, fueling expectations the Bank of England may act sooner to raise rates.
• Consumer prices in Britain rose 3.2% yoy last month, the biggest monthly jump in at least 24 years
• The is pair heading towards the 1.9516 (23.6%fib), as near term direction of the pair is likely to be driven by current price action.
• Technical are strongly bullish, daily RSI is positive at 26, daily momentum studies 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.9516 (23.6%fib), any close above will push the pair towards 1.9565 (20DMA).
• Strong support is seen at 1.9429 (38.2%fib) and break below could take the pair towards 1.9411(9DMA).
Recommendation: Good to buy around 1.9460, with stop loss of 1.9380 and target price of 1.9530
