FxWirePro : GBP/NZD uptrend loses steam, remains on bullish path

• GBP/NZD initially dipped but later recovered some  of its losses as traders repositioned ahead of the Reserve Bank of New Zealand’s upcoming rate decision.

• The Reserve Bank of New Zealand (RBNZ) is widely expected to leave its official cash rate unchanged at its July 9 policy meeting, as recent economic data shows inflation moderating within the central bank’s 1%–3% target range.

• The RBNZ has already delivered 225 basis points of rate cuts since August, policymakers are likely to adopt a wait-and-see approach amid lingering uncertainty over the inflation outlook and global economic headwinds..

• Market consensus now anticipates only one more 25 basis point rate cut for the remainder of the year, down from two projected earlier, suggesting a more cautious policy path going forward.

• Immediate resistance is located at 2.2708(50% fib), any close above will push the pair towards 2.2780(Higher BB).

• Strong support is seen at 2.2538 (SMA 20) and break below could take the pair towards 2.2453(61.8% fib)

Recommendation: Good to buy  around 2.2620 , with stop loss of 2.0600 and target price of 2.2750