Source: PaxForex Premium Analytics Portal, Fundamental Insight
The Preliminary Australian Manufacturing PMI for October came in at 52.8, the Preliminary Australian Services PMI at 49.0, and the Preliminary Australian Composite PMI at 49.6. Forex traders can compare this to the Australian Manufacturing PMI for September, reported at 53.5, the Australian Services PMI at 50.6, and the Australian Composite PMI at 50.9.
The Chinese Trade Balance for September came in at $84.74B. Economists predicted a figure of $81.00B. Forex traders can compare this to the Chinese Trade Balance for August, reported at $79.39B. Exports for September increased by 5.7% annualized and Imports by 0.3% annualized. Economists predicted a rise of 4.1% and 1.0%. Forex traders can compare this to Exports for August, which rose 7.1% annualized, and Imports, which expanded by 0.3% annualized.
The Chinese GDP for the third quarter increased by 3.9% quarterly and 3.9% annualized. Economists predicted an increase of 3.5% quarterly and 3.4% annualized. Forex traders can compare this to the Chinese GDP for the second quarter, which contracted 2.7% quarterly and rose 0.4% annualized. The Chinese GDP for 2022 year-to-date increased by 3.0%. Forex traders can compare this to the Chinese GDP for 2021 year-to-date, which increased by 2.5%.
Chinese Industrial Production for September increased by 6.3% annualized. Economists predicted an expansion of 4.5% annualized. Forex traders can compare this to Chinese Industrial Production for August, which rose 4.2% annualized.
Chinese Retail Sales for September rose 2.5% annualized. Economists predicted an increase of 3.3% annualized. Forex traders can compare this to Chinese Retail Sales for August, which expanded by 5.4% annualized.
Chinese Fixed Assets ex Rural for September expanded 5.9% annualized. Economists predicted a rise of 6.0% annualized. Forex traders can compare this to Chinese Fixed Assets ex Rural for August, which increased by 5.8% annualized.
The Chinese Surveyed Jobless Rate for September came in at 5.5%. Economists predicted 5.2%. Forex traders can compare this to the Chinese Surveyed Jobless Rate for August, reported at 5.3%.
The Chinese House Price Index for September decreased by 1.5%. Forex traders can compare this to the Chinese House Price Index for August, which contracted 1.3%.
The Preliminary French Markit Manufacturing PMI for October is predicted at 47.1, the Preliminary French Markit Services PMI at 51.5, and the Preliminary French Markit Composite PMI at 50.3. Forex traders can compare this to the French Markit Manufacturing PMI for September, reported at 47.7, the French Markit Services PMI at 52.9, and the French Markit Composite PMI at 51.2.
The Preliminary German Markit Manufacturing PMI for October is predicted at 47.0, the Preliminary German Markit Services PMI at 44.7, and the Preliminary German Markit Composite PMI at 45.3. Forex traders can compare this to the German Markit Manufacturing PMI for September, reported at 47.8, the German Markit Services PMI at 45.0, and the German Markit Composite PMI at 45.7.
The Preliminary Eurozone Markit Manufacturing PMI for October is predicted at 47.8, the Preliminary Eurozone Markit Services PMI at 48.2, and the Preliminary Eurozone Markit Composite PMI at 47.5. Forex traders can compare this to the Eurozone Markit Manufacturing PMI for September, reported at 48.4, the Eurozone Markit Services PMI at 48.8, and the Eurozone Markit Composite PMI at 48.1.
The forecast for the EUR/AUD turned bearish in the short term, with the flat Kijun-sen suggesting a lack of short-term bearishness. Volatility could remain elevated, with the Tenkan-sen topping out while the Ichimoku Kinko Hyo Cloud maintains its uptrend. Trades should monitor the CCI following its breakdown from extreme overbought territory with plenty of downside potential. Can bears force more selling pressure on the EUR/AUD and pressure it down into its horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the EUR/AUD remain inside the or breakdown below the 1.5470 to 1.5645 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.5540
- Take Profit Zone: 1.5040 – 1.5150
- Stop Loss Level: 1.5755
Should price action for the EUR/AUD breakout above 1.5645, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.5755
- Take Profit Zone: 1.5845 – 1.5965
- Stop Loss Level: 1.5645
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