• GBP/ NZD rose sharply on Monday as kiwi dollar came under selling pressure as investors attention turned to the upcoming interest rate decision by the RBNZ.
• The impending RBNZ meeting holds importance in shaping the near-term direction of the NZD. If the RBNZ aligns with market forecasts for further interest rate hikes, it may increase the NZD's attractiveness due to its high-yield appeal.
• Bulls have tightened their grip after registering a close above the 38.2%fib,scope grows for bigger gains towards 2.0650.
• Technical signals are strongly bullish as RSI is bullish at 62, 5, 9,11 DMAs are trending up.
• Immediate resistance is located at 2.0571 (23.6%fib), any close above will push the pair towards 2.0666 (Feb 16th).
• Immediate support is seen at 2.0486 (38.2%fib) and break below could take the pair towards 2.0403 (50%fib).
Recommendation: Good buy around 2.0530, with stop loss of 2.0450 and target price of 2.0650
