• GBP/NZD gained on Tuesday as GBP was supported by expectations that the Bank of England will raise interest rates further.
• Investors have raised expectations that the BoE will hike rates after a surprise rate hike in December.
• The is pair heading towards the 23.6% fib resistance, as near term direction of the pair is likely to be driven by current price action.
• Technical are strongly bullish, daily RSI is bullish at 79, daily momentum studies 9 and 10 DMAs are trending up.
• Immediate resistance is located at 2.0099 (23.6%fib ), any close above will push the pair towards 2.0022 (Higher BB).
• Strong support is seen at 2.0064 (5DMA) and break below could take the pair towards 1.9943(38.2%fib).
Recommendation: Good to buy around 2.0070, with stop loss of 1.9965 and target price of 2.0130
