Source: PaxForex Premium Analytics Portal, Fundamental Insight
New Zealand Permanent/Long-Term Migration for December came in at 7,260. Forex traders can compare this to Permanent/Long-Term Migration for November, reported at 6,870. External Migration & Visitors for December surged 14.8% monthly. Forex traders can compare this to External Migration & Visitors for November, which sky-rocketed 30.4% monthly. Visitor Arrivals for December decreased by 2.2% monthly. Forex traders can compare this to Visitor Arrivals for November, which contracted 1.6% monthly.
Australian Consumer Inflation Expectations for February increased by 4.5% annualized. Forex traders can compare this to Australian Consumer Inflation Expectations for January, which expanded by 4.5% annualized.
The Australian Employment Change for January came in at 0.5K, and the Unemployment Rate at 4.1%. Economists predicted a figure of 26.4K and 4.0%. Forex traders can compare this to the Australian Employment Change for December, reported at -62.7K, and the Unemployment Rate reported at 3.9%. 11.1K Full-Time Positions and 10.6K Part-Time Positions were created in January. Forex traders can compare this to the loss of 109.5K Full-Time Positions, and the creation of 46.7K Part-Time Positions reported in December. The Labor Force Participation Rate for January came in at 66.8%. Economists predicted a reading of 66.9%. Forex traders can compare this to the Labor Force Participation Rate for December, reported at 66.8%.
Trading volumes in Asia remain low this week as China celebrates its New Year. GDP data out of Japan and Singapore came in below expectations, a trend Forex traders should follow, as it confirms recession risks.
The forecast for the AUD/NZD turned bullish in the short term after this currency pair bounced off its horizontal support area. The Tenkan-sen and the Kijun-sen have flatlined following a bearish crossover, suggesting the lack of near-term bearish pressures, and price action moved above its Tenkan-sen, offering a bullish catalyst. The Ichimoku Kinko Hyo Cloud has narrowed and confirmed the standoff between bulls and bears with a series of false crossovers. It provides moderate downside momentum, with the Senkou Span A and the Senkou Span B moving lower. Traders should also monitor the CCI after its breakout from extreme oversold territory. This technical indicator has plenty of upside potential and bullish momentum. A breakout above zero could trigger the next leg higher in this currency pair. Can bulls overpower bears and drive the AUD/NZD into its horizontal resistance area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the AUD/NZD remain inside the or breakout above the 1.0635 to 1.0675 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.0660
- Take Profit Zone: 1.0745 – 1.0770
- Stop Loss Level: 1.0600
Should price action for the AUD/NZD breakdown below 1.0635, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.0600
- Take Profit Zone: 1.0500 – 1.0530
- Stop Loss Level: 1.0635
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
