Source: PaxForex Premium Analytics Portal, Fundamental Insight
Australian TD Securities Inflation for October increased by 0.4% monthly. Forex traders can compare this to Australian TD Securities Inflation for September, which rose 0.5% monthly.
Australian Private Sector Credit for September increased by 0.7% monthly and 9.4% annualized. Forex traders can compare this to Australian Private Sector Credit for August, which rose 0.8% monthly and 9.3% annualized. Australian Housing Credit for September expanded by 0.6% monthly. Forex traders can compare this to Australian Housing Credit for August, which increased by 0.4% monthly.
Australian Retail Sales for September rose 0.6% monthly. Economists predicted an increase of 0.6% monthly. Forex traders can compare this to Australian Retail Sales for August, which expanded by 0.6% monthly.
The Chinese Non-Manufacturing PMI for October came in at 48.7, and the Chinese Manufacturing PMI at 49.2. Economists predicted a figure of 50.2 and 50.0. Forex traders can compare this to the Chinese Non-Manufacturing PMI for September, reported at 50.6, and the Chinese Manufacturing PMI, at 50.1. The Chinese Composite PMI for October came in at 49.0. Forex traders can compare this to the Chinese Composite PMI for September, reported at 50.9.
UK Mortgage Approvals for September are predicted at 67.00K. Forex traders can compare this to UK Mortgage Approvals for August, reported at 74.34K.
UK Net Consumer Credit for September is predicted at £0.978B, and Net Mortgage Lending is predicted at £4.900B. Forex traders can compare this to UK Net Consumer Credit for August, reported at £1.077B, and Net Mortgage Lending, at £6.140B.
UK M4 Money Supply for September is predicted to increase by 0.2% monthly. Forex traders can compare this to UK M4 Money Supply for August, which decreased by 0.2% monthly.
The forecast for the GBP/AUD turned moderately bearish after this currency pair rallied over 2,000 pips into its horizontal resistance area, recovering from the fiscal shock of proposed unfunded UK tax cuts. Confirming the absence of short-term bullish momentum are the Kijun-sen and the Tenkan-sen, which turned sideways. The Ichimoku Kinko Hyo Cloud recovered from its depression and joined the sideways trend after reaching its previous peak. Traders should closely monitor the CCI following its advance into extreme overbought territory. This technical indicator is vulnerable to a breakdown, which could trigger a sell-off while keeping long-term bullishness intact. Can bears take control over price action and pressure the GBP/AUD 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 GBP/AUD remain inside the or breakdown below the 1.8000 to 1.8200 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.8065
- Take Profit Zone: : 1.7420 – 1.7535
- Stop Loss Level:1.8285
Should price action for the GBP/AUD breakout above 1.8200, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.8285
- Take Profit Zone: 1.8475 – 1.8575
- Stop Loss Level: 1.8200
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
