• GBP/ NZD initially dipped but recovered some ground as investors looked past U.S. shutdown developments and awaited UK economic data to gauge the Bank of England’s next moves.
• The UK Office for National Statistics (ONS) is set to release its third-quarter reports on Thursday, covering both GDP growth and productivity.
• Last month’s ONS data showed UK economic growth of 0.1% in August, with July’s growth figures revised lower.
• A poll of economists expect a modest 0.2% growth rate over Q3, while the Bank of England warned that uncertainty around the budget was stalling activity.
• Immediate resistance is located at 2.3470 ( 23.6%fib), any close above will push the pair towards 2.3562 (Higher BB).
• Immediate support is seen at 2.3203(SMA 20) and break below could take the pair towards 2.3084 (38.2% fib).
Recommendation: Good to buy around 2.3300 with stop loss of 2.3160 and target price of 2.3400
