Source: PaxForex Premium Analytics Portal, Fundamental Insight
The German Import Price Index for July is predicted to increase 1.0% monthly and 29.9% annualized. Forex traders can compare this to the German Import Price Index for June, which rose 1.0% monthly and 29.9% annualized.
The Preliminary Spanish CPI for August is predicted to increase 0.3% monthly and 10.9% annualized. Forex traders can compare this to the Spanish CPI for July, which decreased 0.3% monthly and surged 10.8% annualized. The Spanish Harmonized CPI for August is predicted to rise 0.3% monthly and 10.3% annualized. Forex traders can compare this to the Spanish Harmonized CPI for July, which dropped 0.6% monthly and accelerated 10.7% annualized.
Eurozone Economic Sentiment for August is predicted at 98.0. Forex traders can compare this to Eurozone Economic Sentiment for July, reported at 99.0. Eurozone Industrial Sentiment for August is predicted at 1.5, and Eurozone Services Sentiment at 8.7. Forex traders can compare this to Eurozone Industrial Sentiment for July, reported at 3.5, and the Eurozone Services Sentiment at 10.7. Final Eurozone Consumer Confidence for August is predicted at -24.9. Forex traders can compare this to the previous Eurozone Consumer Confidence for August, reported at -24.9.
The Preliminary German CPI for August is predicted to increase 0.3% monthly and 7.8% annualized. Forex traders can compare this to the German CPI for July, which rose 0.9% monthly and 7.5% annualized. The EU Harmonized German CPI for August is predicted to increase 0.4% monthly and 8.8% annualized. Forex traders can compare this to the EU Harmonized German CPI for July, which rose 0.8% monthly and 8.5% annualized.
The Swiss KOF Leading Indicator for August is predicted at 89.0. Forex traders can compare this to the Swiss KOF Leading Indicator for July, reported at 90.1.
The forecast for the EUR/CHF remains bullish after this currency pair bounced off its horizontal support area. Confirming the absence of short-term bearishness is the flat Tenkan-sen. The Kijun-sen began the process of a sideways trend, expected to materialize this week. The Ichimoku Kinko Hyo Cloud widened, and now it poses the next resistance level, hugging the horizontal resistance area. It is likely to enter a sideways trend before narrowing as price action advances. Traders should monitor the CCI following its double breakout, from extreme oversold conditions and above zero, as it has plenty of upside potential. Can bulls take advantage of recent strength and push the EUR/CHF 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 EUR/CHF remain inside the or breakout above the 0.9625 to 0.9710 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 0.9675
- Take Profit Zone: 1.0000 – 1.0095
- Stop Loss Level: 0.9550
Should price action for the EUR/CHF breakdown below 0.9625, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 0.9550
- Take Profit Zone: 0.9360 – 0.9455
- Stop Loss Level: 0.9625
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