Source: PaxForex Premium Analytics Portal, Fundamental Insight
The German Wholesale Price Index for November increased 1.3% monthly and 16.6% annualized. Forex traders can compare this to the German Wholesale Price Index for October, which increased 1.6% monthly and 15.2% annualized.
The Final French CPI for November increased 0.4% monthly and 2.8% annualized. Economists predicted an increase of 0.4% and 2.8%. Forex traders can compare this to the French CPI for October, which increased 0.4% monthly and 2.6% annualized. The French Harmonized CPI for November increased 0.4% monthly and 3.4% annualized. Economists predicted an increase of 0.4% and 3.4%. Forex traders can compare this to the French Harmonized CPI for October, which increased 0.4% monthly and 3.2% annualized.
The Final Spanish CPI for November increased 0.3% monthly and 5.5% annualized. Economists predicted an increase of 0.4% and 5.6%. Forex traders can compare this to the Spanish CPI for October, which increased 1.8% monthly and 5.4% annualized. The Spanish Harmonized CPI for November increased 0.2% monthly and 5.5% annualized. Economists predicted an increase of 0.3% and 5.6%. Forex traders can compare this to the Spanish Harmonized CPI for October, which increased 1.6% monthly and 5.4% annualized.
The Final Italian CPI for November is predicted to increase 0.7% monthly and 3.8% annualized. Forex traders can compare this to the Italian CPI for October, which increased 0.7% monthly and 3.0% annualized. The Italian Harmonized CPI for November is predicted to increase 0.8% monthly and 4.0% annualized. Forex traders can compare this to the Italian Harmonized CPI for October, which increased 0.9% monthly and 3.2% annualized.
The South African CPI for November increased 0.5% monthly and 5.5% annualized. Economists predicted an increase of 0.4% and 5.4%. Forex traders can compare this to the South African CPI for October, which increased 0.2% monthly and 5.0% annualized. The South African Core CPI for November increased 0.1% monthly and 3.3% annualized. Economists predicted an increase of 0.1% and 3.3%. Forex traders can compare this to the South African Core CPI for October, which increased 0.2% monthly and 3.2% annualized.
The South African PPI for November is predicted to increase 0.7% monthly and 8.9% annualized. Forex traders can compare this to the South African PPI for October, which increased 0.7% monthly and 8.1% annualized.
The forecast for the EUR/ZAR turned bearish after price action retreated from its peak and reversed to a lower high with fading bullish momentum. The Kijun-sen and the Tenkan-sen turned sideways, confirming the absence of upside pressures. Adding to the bearish outlook is the Senkou Span B of the Ichimoku Kinko Hyo Cloud, which turned flat. Volatility may increase over the next few sessions as the CCI approaches extreme overbought territory. Traders should wait for a spike above 100 followed by a breakdown before entering their short positions. Can bears gain control over the EUR/ZAR and force price action 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/ZAR remain inside the or breakdown below the 18.1000 to 18.2720 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 18.1850
- Take Profit Zone: 17.2960 – 17.4620
- Stop Loss Level: 18.4500
Should price action for the EUR/ZAR breakout above 18.2720, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 18.4500
- Take Profit Zone: 18.9260 – 19.0300
- Stop Loss Level: 18.2720
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