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GBPNZD


XM 리서치

With clouds gathering over the UK economy, what’s next for the pound?

Although the Bank of England is expected to keep raising rates for a while longer, the pound has lost decent ground lately against its US counterpart as traders seem to have been paying growing attention to growth dynamics. With underlying inflation more than three times the BoE’s 2% objective, will BoE policymakers stay keen to continue pressing the hike button or will they turn to a more cautious stance in order to safeguard the local economy?
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GBPNZD brought the pandemic’s four-year high of 2.167 back under the limelight after an impressive performance over the past six months. The ongoing bullish run, which snapped the 50% Fibonacci retracement of the 2015-2016 freefall last week, shows no signs of weakness in the weekly chart. Hence, buyers could stay active in the market, though some profit taking cannot be ruled out as the price is a short distance below its 2020 top.
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Will UK inflation data confirm the BoE’s choice to slow down? – Preview

With investors significantly lowering their implied Bank of England rate path following the slowdown in June’s inflation numbers and the 25bps hike at the Bank’s latest meeting, the spotlight will now turn to the UK inflation data for July, due out on Wednesday at 06:00 GMT. Traders will be eager to find out whether their massive adjustment in their bets seems correct or not, leaving the pound vulnerable to volatile swings.
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British Pound: A silent power among the majors

Despite coming under some pressure against its US counterpart lately, the British pound remains the best performing currency year-to-date. Will it continue performing well henceforth? With underlying inflation creeping up again in April, investors are hoping that the Bank of England will intensify its efforts to bring it to heel. But will policymakers rise to the occasion?
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GBPNZD has been trending downwards in the medium term since the price peaked at the double top of 2.0070. However, the pair has managed to bounce back after encountering strong support at the 13-month low of 1.8851, gaining back a significant part of its losses. The pair’s ongoing rebound is likely to come short as a loss of momentum is observed in the last couple of sessions.

US Open Note – Markets cool down after a messy week despite China's RRR cut

Stocks get on their feet ahead of earnings Markets took a breather at the end of a turbulent week, which suddenly derailed hopes of a swift economic recovery and promoted self-realization that the vaccination program alone may not be enough to re-establish the pre-Covid normality. The pan-European STOXX 600 is currently up by around 1.0%, having recouped a large share of yesterday’s losses, with consumer cyclicals, basic materials, and real estate enjoying the biggest gains.

Technical Analysis – GBPNZD cautiously positive; gains meet significant strain

GBPNZD is tackling the capping 100-day simple moving average (SMA) at 1.9880 at the ceiling of the Ichimoku cloud. The bullish demeanour of the Ichimoku lines look to be aiding the price’s recent ascent from 1.9000, which has so far recouped some losses of a three-month deterioration. The short-term oscillators also reflect the improvement in positive momentum.

Technical Analysis – GBPNZD maintains its positive structure despite seller’s pullback

GBPNZD’s improving picture has found support from the 50- and 100-day simple moving averages (SMAs) slightly above the Ichimoku cloud and the tentative uptrend line. The pair is currently trading around the 2.0374 level, which is the 38.2% Fibonacci retracement of the up leg from 1.8276 to 2.1675. Moreover, the flattened Ichimoku lines reflect a stall in positive directional momentum.

Technical Analysis – GBPNZD at 3 ½-year highs and near key resistance

GBPNZD hit the highest point since June 2016 on Wednesday but the pair barely breached the October peak of 2.055 which is also a former key resistance area, sending warnings that the bullish momentum may soon lose steam. Any downside correction, however, may prove temporary if the rising 20-day simple moving average (SMA) currently around 2.023 keeps supporting the market, shifting attention back to the 2.055 barrier.

Technical Analysis – GBPNZD maintains neutral-to-bullish bias above cloud

GBPNZD has been consolidating over the last four months with upper boundary the 2.0430 resistance and lower boundary the 50.0% Fibonacci retracement level of the up leg 1.8280 – 2.0550, near 1.9410. However, the broader picture remains positive as the price is hovering above the seven-month ascending trend line. Turning the attention to the technical indicators, the RSI is sloping up after a bounce ahead of the 50 level, while the stochastic is turning slightly higher before it hit the 20 lev



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