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FxWirePro:GBP/NZD runs out of steam but outlook is bullish

• GBP/NZD initially gained  on but gave up ground as investors digested UK general election results and  US jobs data.   

• Labour won a massive majority in the 650-seat parliament while Rishi Sunak's Conservatives suffered the worst defeat in the party's long history as voters punished them for a cost of living crisis

• Upcoming data and comments from the new government will drive the finely balanced decision, which will be key for sterling.

• Data showed U.S. non-farm payrolls grew by 206,000 jobs in June, slightly higher than the 190,000 new jobs estimated by economists polled.  

• Immediate resistance is located at 2.0918 (Daily high ), any close above will push the pair towards 2.0958(23.6%fib).

• Strong support is seen at 2.0849 (38.2%fib) and break below could take the pair towards 2.0756 (50%fib).

Recommendation: Good to buy   around 2.0840, with stop loss of 2.0700 and target price of 2.0910

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