• GBP/ NZD initially dipped on Thursday but rebounded after the Bank of England delivered a bigger-than-expected half a percentage point rate hike.
• The Bank of England (BoE) raised interest rates by 50 basis points (bps) to 5%, the highest since 2008, and its largest increase since February.
• In an up-and-down session, the pair hit low at 2.0501 in early trading then gained towards 2.0606.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 61 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 2.0650 ( 38.2% fib), any close above will push the pair towards 2.0750 (June 21st high).
• Immediate support is seen at 2.0532 (14DMA) and break below could take the pair towards 2.0490 (38.2% fib).
Recommendation: Good to buy around 2.0590, with stop loss of 2.0500 and target price of 2.0680
