2026-10-23 Readings lean bearish
GBP/NZD drifts lower to 2.3532 as markets weigh UK retail sales and RBNZ rate hike bets.
The British pound is slightly weaker against the New Zealand dollar today. Both currencies are showing mild weakness across the board over the last 24 hours. The market is currently trading without a clear directional signal from our engine.
Trend and momentum
The trend structure is pointing down on both the 1-hour and 4-hour charts. Momentum is slightly bearish with the 1-hour RSI at 44.5 and the 4-hour RSI at 47.83. Price action remains inside the 1-hour Bollinger Bands without a squeeze. The pair has already used 101 percent of its average daily range, suggesting limited further expansion today.
Key levels
Key resistance sits at yesterday's high of 2.35833 and last week's high of 2.36680. Support is found at yesterday's low of 2.34592, which also marks the recent 4-hour range low, and last week's low of 2.34904. A break above 2.35833 could signal a shift in short-term momentum, while a drop below 2.34592 would confirm the ongoing downtrend.
News and events this week
New Zealand reported Q3 inflation easing to 3.7 percent on October 22, but markets still expect the RBNZ to hike rates by 25 basis points on October 28 due to underlying pressures. For the British pound, traders are watching the UK retail sales and GfK consumer confidence data released on October 23. These events will likely drive the next major move for the pair.
What would push it higher
The pair could rise if UK retail sales data surprises to the upside and strengthens the pound. A shift in market sentiment reducing RBNZ rate hike expectations would also support an upward move.
What would push it lower
The pair could fall further if UK economic data disappoints and highlights domestic weakness. Continued hawkish expectations for the upcoming RBNZ meeting would also weigh on the exchange rate.
The engine has no open signal on this pair. Today's signals →