Source: PaxForex Premium Analytics Portal, Fundamental Insight
Australian Building Approvals for August increased 6.8% monthly, and Private House Approvals increased 3.8% monthly. Forex traders can compare this to Australian Building Approvals for July, which decreased 8.6% monthly, and Private House Approvals, which decreased 5.5% monthly. Australian Private Sector Credit for August increased 0.6% monthly, and Housing Credit increased 0.6% monthly. Forex traders can compare this to Australian Private Sector Credit for July, which increased 0.7% monthly, and Housing Credit, which increased 0.6% monthly.
The Chinese Non-Manufacturing PMI for September was reported at 53.2 and the Chinese Manufacturing PMI at 49.6. Forex traders can compare this to the Chinese Non-Manufacturing PMI for July, reported at 47.5, and the Chinese Manufacturing PMI, reported at 50.1. The Chinese Composite PMI for August was reported at 51.7. Forex traders can compare this to the Chinese Composite PMI for July, reported at 48.9. The Chinese Caixin Manufacturing PMI for August was reported at 50.0. Economists predicted a figure of 49.5. Forex traders can compare this to the Chinese Caixin Manufacturing PMI for July, reported at 49.2.
The final second-quarter UK GDP increased 5.5% quarterly and 23.6% annualized. Economists predicted an increase of 4.8% and 22.2%. Forex traders can compare this to the first quarter UK GDP, which decreased 1.6% quarterly and 6.1% annualized. Final second-quarter UK Total Business Investment increased 4.5% quarterly and 12.9% annualized. Forex traders can compare this to the first quarter UK Total Business Investment, which increased 2.4% quarterly and 9.7% annualized.
UK Nationwide House Prices for September increased 0.1% monthly and 10.0% annualized. Economists predicted an increase of 0.6% and 10.7%. Forex traders can compare this to UK Nationwide House Prices for August, which increased 2.0% monthly and 11.0% annualized. The UK Current Account Balance for the second quarter was reported at -£8.6B. Economists predicted a figure of -£15.6B. Forex traders can compare this to the UK Current Account for the first quarter, reported at -£12.8B.
The forecast for the GBP/AUD is turning slowly bullish as selling pressure is fading following the breakdown below its ascending Ichimoku Kinko Hyo Cloud. After the Kijun-sen and the Tenkan-sen turned sideways, traders should expect a gradual increase in upside momentum. The CCI descended into extreme oversold territory but started to move higher. A breakout above -100 will deliver the final buy signal for this currency pair. Can bulls regain control over the GBP/AUD and pressure it 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 GBP/AUD remain inside the or breakout above the 1.8620 to 1.8745 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.8665
- Take Profit Zone: : 1.9055 – 1.9150
- Stop Loss Level:1.8570
Should price action for the GBP/AUD breakdown below 1.8620, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.8570
- Take Profit Zone: 1.8360 – 1.8450
- Stop Loss Level: 1.8620
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