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FxWirePro: GBP/NZD bulls back away from 2.0750 as focus shifts to Thursdays BoE rate decision

• GBP/NZD retreated from daily high on Wednesday as high inflation reading deepened worries that the Bank of England (BoE) may keep interest rates higher for longer.

• Data showed UK inflation defied predictions of a slowdown and held at 8.7% in May, putting yet more pressure on the BoE a day before it is expected to raise interest rates  on Thursday.

• Technical are mixed   RSI is at 58 bullish , daily momentum studies 5, 9 and 11 DMAs are trending down.

• Immediate resistance is located at 2.0724 (Higher BB), any close above will push the pair towards 2.0807(23.6%fib).

• Immediate support is seen at 2.0558 (Daily low) and break below could take the pair towards 2.0522 (38.2%fib)

Recommendation: Be on sidelines
 

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