Source: PaxForex Premium Analytics Portal, Fundamental Insight
The UK Jobless Claims Change for December was reported at -43.3K. Economists predicted a figure of -38.6K. Forex traders can compare this to the UK Jobless Claims Change for November, reported at -95.1K.
The UK Employment Change for the tri-monthly period ending in November was reported at 60K, and the ILO Unemployment Rate was reported at 4.1%. Economists predicted a reading of 125K and 4.2%. Forex traders can compare this to the UK Employment Change for October, reported at 149K, and the ILO Unemployment Rate reported at 4.2%. Average Weekly Earnings for the tri-monthly period ending in November increased 4.2% annualized, and Average Weekly Earnings Excluding Bonuses increased 3.8% annualized. Economists predicted an increase of 4.2% and 3.8%. Forex traders can compare this to Average Weekly Earnings for October, which increased 4.9%, and Average Weekly Earnings Excluding Bonuses, which increased 4.3%.
Swiss Producer & Import Prices for December decreased 0.1% monthly and increased 5.1% annualized. Forex traders can compare this to Swiss Producer & Import Prices for November, which increased 0.5% monthly and 5.8% annualized.
The forecast for the GBP/CHF turned bearish after this currency pair failed to maintain its uptrend and retreated. Adding to the medium-term bearish outlook is the gradually descending Ichimoku Kinko Hyo Cloud, which continues to narrow. Short-term volatility may increase as the Tenkan-sen maintains its uptrend, while the Kijun-sen has flatlined. After the breakdown in the CCI from extreme overbought territory, traders should prepare for more downside following a crossover below 0. Can bears extend the sell-off in the GBP/CHF and force a correction 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/CHF remain inside the or breakdown below the 1.2440 to 1.2510 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Long Position @ 1.2480
- Take Profit Zone: 1.2115 – 1.2190
- Stop Loss Level: 1.2610
Should price action for the GBP/CHF breakout above 1.2510, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Short Position @ 1.2610
- Take Profit Zone: 1.2760 – 1.2820
- Stop Loss Level: 1.2510
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
