• GBP/NZD steadied around 2.1976 as the kiwi dollar remained weak, driven by expectations of further significant interest rate cuts from the Reserve Bank of New Zealand.
• Swap markets now price in a 90% chance of a 50 bps cut next month, with the RBNZ expected to lower rates by 100 bps in 2025.
•Rally towards is 2.2100 possible if GBP/NZD bulls overcome resistance at 38.2%fib
• Immediate resistance is located at 2.2008(38.2%fib), any close above will push the pair towards 2.1147(23.6%fib).
• Immediate support is seen at 2.1897 (50%fib) and break below could take the pair towards 2.1798(61.8%fib).
Recommendation: Good to buy around 2.1960, with stop loss of 2.1800 and target price of 2.2100
