Source: PaxForex Premium Analytics Portal, Fundamental Insight
The Spanish Markit Manufacturing PMI for December is predicted at 56.2. Forex traders can compare this to the Spanish Markit Manufacturing PMI for November, reported at 57.1. The Italian Markit/ADACI Manufacturing PMI for December is predicted at 61.5. Forex traders can compare this to the Italian Markit/ADACI Manufacturing PMI for November, reported at 62.8.
The Final French Markit Manufacturing PMI for December is predicted at 54.9. Forex traders can compare this to the French Markit Manufacturing PMI for November, reported at 55.9. The Final German Markit/BME Manufacturing PMI for December is predicted at 57.9. Forex traders can compare this to the German Markit/BME Manufacturing PMI for November, reported at 57.4.
The Final Eurozone Markit Manufacturing PMI for December is predicted at 58.0. Forex traders can compare this to the Eurozone Markit Manufacturing PMI for November, reported at 58.4.
The Swiss Procure Manufacturing PMI for December is predicted at 61.0. Forex traders can compare this to the Swiss Manufacturing PMI for November, reported at 62.5.
The forecast for the EUR/CHF slowly adopts a bullish stance after price action stabilized inside its horizontal support area. Adding to the positive medium-term outlook is the Ichimoku Kinko Hyo Cloud, which ended its downtrend and entered a sideways trend. The Tenkan-sen also flatlined, while the Kijun-sen drifts lower. It opens the possibility for a rise in short-term volatility. The CCI increases the bullish case after completing a breakout from extreme oversold territory with plenty of upside potential. Will bulls rally and pressure 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 1.0325 to 1.0395 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Short Position @ 1.0370
- Take Profit Zone: 1.0550 – 1.0595
- Stop Loss Level: 1.0310
Should price action for the EUR/CHF breakdown below 1.0325, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Long Position @ 1.0310
- Take Profit Zone: 1.0235 – 1.0270
- Stop Loss Level: 1.0325
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