Source: PaxForex Premium Analytics Portal, Fundamental Insight
The Final German CPI for March is predicted to increase 2.5% monthly and 7.3% annualized. Forex traders can compare this to the German CPI for February, which rose 0.9% monthly and 5.1% annualized. The Final EU Harmonized German CPI for March is predicted to expand 2.5% monthly and 7.6% annualized. Forex traders can compare this to the EU Harmonized German CPI for February, which increased 0.9% monthly and 5.5% annualized.
The German ZEW Survey Current Situation Index for April is predicted at -35.0, and the German ZEW Survey Economic Sentiment Index at -48.0. Forex traders can compare this to the German ZEW Survey Current Situation Index for March, reported at -21.4, and the German ZEW Survey Economic Sentiment Index at -39.3.
US CPI for March is predicted to rise 1.2% monthly and 8.4% annualized. Forex traders can compare this to the US CPI for February, which increased 0.8% monthly and 7.9% annualized. US Core CPI for March is predicted to expand 0.5% monthly and 6.6% annualized. Forex traders can compare this to the US Core CPI for February, which rose 0.5% monthly and 6.4% annualized.
US Real Average Hourly Earnings for March are predicted to decrease 0.6% monthly. Forex traders can compare this to US Real Average Hourly Earnings for February, which dropped 0.5% monthly. The US Monthly Budget Statement for March is predicted at -$191.0B. Forex traders can compare this to the US Monthly Budget Statement for February, reported at -$217.0B.
The forecast for the EUR/USD remains bullish following its reversal which led to a double bottom formation. Adding to the positive outlook is the ascending Kijun-sen, which is on the cusp of a bullish crossover above the flat Tenkan-sen. The Ichimoku Kinko Hyo Cloud stabilized, and the CCI created a higher low in extreme oversold territory before moving above -100. Forex traders should monitor this technical indicator for more upside. Can bulls take advantage of recent developments and push the EUR/USD 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/USD remain inside the or breakout above the 1.0835 to 1.0935 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.0880
- Take Profit Zone: 1.1090 – 1.1150
- Stop Loss Level: 1.0780
Should price action for the EUR/USD breakdown below 1.0835, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.0780
- Take Profit Zone: 1.0635 – 1.0690
- Stop Loss Level: 1.0835
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