FxWirePro: GBP/NZD slips amid prolonged geopolitical uncertainty

• GBP/NZD dipped  on  Monday   as renewed U.S.-Iran tensions caused uncertainty ​in markets about the chances of a peace deal.

• A ceasefire between the ‌U.S. ⁠and Iran appeared in jeopardy on Monday after the takeover of the cargo ship.

• Oil prices jumped around 5% on fears the ceasefire would collapse, and as flows through the Strait of Hormuz remained largely halted.

•   UK inflation data is due on Wednesday at 0600 GMT. CPI is forecast to rise to 3.3% year-on-year, according to the median estimate of economists, from 3.0% in January and February - before the Iran war began.

•A hotter-than-expected CPI print would be a boost for hawks advocating a BoE rate rise this quarter, and might lift GBP - albeit perhaps only temporarily.

•Meanwhile, a cooler-than-expected number could reduce the probability of the BoE raising rates to 4% by June or July.

• Immediate resistance is located at 2.3054(SMA 20), any close above will push the pair towards 2.3122(61.8%fib).

• Immediate support is seen at 2.2899 (50%fib) and break below could take the pair towards 2.2832(lower BB).

Recommendation: Good to sell around 2.3000 with stop loss of 2.3100  and target price of 2.2850