Source: PaxForex Premium Analytics Portal, Fundamental Insight
The UK Jobless Claims Change for March is predicted at 10.2K. Forex traders can compare this to the UK Jobless Claims Change for February, reported at -11.2K.
The UK Employment Change for the tri-monthly period ending in February is predicted at 50K, and the ILO Unemployment Rate at 3.7%. Forex traders can compare this to the UK Employment Change for January, reported at 65K, and the ILO Unemployment Rate reported at 3.6%. Average Weekly Earnings for the tri-monthly period ending in February are predicted to increase by 5.1% annualized, and Average Weekly Earnings Excluding Bonuses by 6.2% annualized. Forex traders can compare this to Average Weekly Earnings for January, which increased by 5.7%, and Average Weekly Earnings Excluding Bonuses, which increased by 6.5%.
The Canadian CPI for March is predicted to increase by 0.5% monthly and 4.3% annualized. Forex traders can compare this to the Canadian CPI for February, which rose by 0.4% monthly and 5.2% annualized. The Canadian Core CPI for March is predicted to expand by 0.4% monthly and 4.4% annualized. Forex traders can compare this to the Canadian Core CPI for February, which increased by 0.5% monthly and 4.7% annualized. The Core CPI-Median for March is predicted to expand by 4.8% annualized, and the Core CPI-Trimmed by 4.8% annualized. Forex traders can compare this to the Core CPI-Median for February, which rose by 4.9% annualized, and to the Core CPI-Trimmed by 4.8% annualized.
The Canadian Dollar could experience additional volatility today after speeches by Bank of Canada Governor Macklem and Senior Deputy Governor Rogers. UK bond traders get the 30-year Guilt auction. The Canadian economy is slowing, despite prospects of high commodity prices driven by energy, which could derail the decrease in inflation in the second half of the year.
The forecast for the GBP/CAD turned cautiously bullish after this currency pair stabilized at a moderate support area. After the Kijun-sen completed a bullish crossover above the descending Tenkan-sen, it flatlined, suggesting a pending stand-off between bulls and bears. The Ichimoku Kinko Hyo Cloud also entered a sideways trend and could narrow unless bulls take charge. Traders should monitor the CCI in extreme oversold territory as it has begun to drift higher. A sustained breakout above -100 could provide bulls the catalyst to regain control over price action. Will bulls overpower bears and pressure the GBP/CAD into its horizontal resistance area for fresh 2023 highs? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the GBP/CAD remain inside the or breakout above the 1.6535 to 1.6610 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.6575
- Take Profit Zone: 1.6795 – 1.6865
- Stop Loss Level: 1.6480
Should price action for the GBP/CAD breakdown below 1.6535, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.6480
- Take Profit Zone: 1.6335 – 1.6385
- Stop Loss Level: 1.6535
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
