• GBP/NZD drifted slightly lower on Monday as pound eased ahead of a slew of economic data this week that could shape expectations around the Bank of England's policy moves this year.
• Investors are focusing on this week's labor market and GDP data for clues about the Bank of England's policy direction.
• The Bank of England is widely expected to keep interest rates unchanged at its upcoming meeting, while the European Central Bank is anticipated to reduce rates in its meeting this week.
• Technical highlight downside risks for GBP/NZD, with momentum studies, 5, 10 and 21 DMAs tracking south.
• Immediate resistance is located at 2.1357 (38.2%fib), any close above will push the pair towards 2.1435 (Aug 19th high).
• Immediate support is seen at 2.1174 (50%fib) and break below could take the pair towards 2.1116(Aug 7th low).
Recommendation: Good to sell around 2.1260, with stop loss of 2.1300 and target price of 2.1140
