Source: PaxForex Premium Analytics Portal, Fundamental Insight
Australian Building Approvals for January decreased by 1.0% monthly, and Private House Approvals dropped by 9.9% monthly. Economists predicted a contraction of 1.0% and a plunge of 9.9%. Forex traders can compare this to Australian Building Approvals for December, which collapsed 10.1% monthly, and Private House Approvals, which contracted 1.8% monthly.
Australian NAB Business Conditions for February came in at 10, and Australian NAB Business Confidence at 0. Forex traders can compare this to NAB Business Conditions for February, reported at 7, and Australian NAB Business Confidence at 1.
The UK Jobless Claims Change for February came in at 16.8K. Economists predicted a figure of 20.3K. Forex traders can compare this to the UK Jobless Claims Change for January, reported at 3.1K.
The UK Employment Change for the tri-monthly period ending in January came in at -21K, and the ILO Unemployment Rate at 3.9%. Economists predicted a reading of 10K and 3.8%. Forex traders can compare this to the UK Employment Change for December, reported at 72K, and the ILO Unemployment Rate, reported at 3.8%. Average Weekly Earnings for the tri-monthly period ending in January increased 5.6% annualized, and Average Weekly Earnings Excluding Bonuses rose 6.1% annualized. Economists predicted a rise of 5.7% and 6.2%. Forex traders can compare this to Average Weekly Earnings for December, which rose 5.8%, and Average Weekly Earnings Excluding Bonuses, which increased 6.2%.
Chinese New Yuan Loans for February are predicted at CNY 1,510.0B and Chinese Total Social Financing at CNY 2,200.0B. Forex traders can compare this to Chinese New Yuan Loans for January, reported at CNY 4,920.0B, and Chinese Total Social Financing at CNY 6,500.0B. Chinese M2 Money Supply for February is predicted to increase by 8.8% and Outstanding Loan Growth by 10.2%. Forex traders can compare this to the Chinese M2 Money Supply for January, which rose by 8.7%, and Outstanding Loan Growth by 10.4%.
The forecast for the GBP/AUD turned cautiously bullish after this currency pair confirmed a new horizontal support area. Short-term volatility could increase with the Tenkan-sen, the Kijun-sen, and the Ichimoku Kinko Hyo Cloud flat. Traders should monitor the CCI following a double breakdown from extreme overbought territory and below zero. This technical indicator could briefly challenge extreme oversold territory before reversing. Can bulls regain control over the GBP/AUD and push price action into its horizontal resistance area for a fresh 2024 high? 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 1.9310 to 1.9400 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.9360
- Take Profit Zone: : 1.9570 – 1.9625
- Stop Loss Level:1.9270
Should price action for the GBP/AUD breakdown below 1.9310, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.9270
- Take Profit Zone: 1.9100 – 1.9190
- Stop Loss Level: 1.9310
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