Source: PaxForex Premium Analytics Portal, Fundamental Insight
Japanese Household Spending for March increased by 7.2% monthly and 6.2% annualized. Economists predicted an increase of 2.1% and 2.5% annualized. Forex traders can compare this to Japanese Household Spending for February, which increased by 2.4% monthly, and decreased 6.6% annualized.
The German Wholesale Price Index for April increased by 1.1% monthly and 7.2% annualized. Forex traders can compare this to the German Wholesale Price Index for March, which increased 1.7% monthly and 4.4% annualized. Italian Industrial Production for March is predicted to increase by 0.4% monthly and 37.2% annualized. Forex traders can compare this to Italian Industrial Production for February, which increased by 0.2% monthly and decreased by 0.6% annualized. The German ZEW Survey Current Situation Index for May is predicted at -42.6, and the German ZEW Survey Economic Sentiment Index at 71.0. Forex traders can compare this to the German ZEW Survey Current Situation Index for April, reported at -48.8, and to the German ZEW Survey Economic Sentiment Index, reported at 70.7.
The forecast for the EUR/JPY turned bearish after moving into resistance, while risk-off sentiment is on the rise. While the Ichimoku Kinko Hyo Cloud continues to advance, the Kijun-sen and the Tenkan-sen turned sideways. A spark in volatility is likely after the CCI retreated from its high inside extreme overbought territory and moved out of it. Can bears rally and pressure the EUR/JPY back 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 EURJPY remain inside the or breakdown below the 131.900 to 132.500 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 132.150
- Take Profit Zone: 129.600 – 130.000
- Stop Loss Level: 133.000
Should price action for the EURJPY breakout above 132.500, PaxForex recommends the following trade set-up is recommended:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 133.000
- Take Profit Zone: 133.900 – 134.550
- Stop Loss Level: 132.500
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
