Source: PaxForex Premium Analytics Portal, Fundamental Insight
The UK CBI Distributive Sales Survey for July is predicted at 21. Forex traders can compare this to the UK CBI Distributive Sales Survey for June, reported at 25.
US Preliminary Durable Goods Orders for June are predicted to increase 2.1% monthly, and Durables Excluding Transportation are predicted to increase 0.8% monthly. Forex traders can compare this to US Durable Goods Orders for May, which increased 2.3% monthly, and to Durables Excluding Transportation, which increased 0.3% monthly. Capital Goods Orders Non-Defense Excluding Aircraft for June are predicted to increase 0.7% monthly. Forex traders can compare this to Capital Goods Orders Non-Defense Excluding Aircraft for May, which increased 0.1% monthly.
The US S&P/Case-Shiller Composite 20 for May is predicted to increase 1.60% monthly and 16.40% annualized. Forex traders can compare this to the US S&P/Case-Shiller Composite 20 for April, which increased 1.60% monthly and 14.90% annualized. US Consumer Confidence for July is predicted at 123.9. Forex traders can compare this to US Consumer Confidence for June, reported at 127.3.
The forecast for the GBP/USD remains bullish after it started a recovery following an overstretched sell-off. Volatility may persist in the short-term, but downside pressure faded after the Kijun-sen and the Tenkan-sen turned flat. The Ichimoku Kinko Hyo Cloud also ended its bearish bias, and the CCI accelerated out of extreme oversold territory with more upside potential. Will recent technical developments offer bulls enough to gather steam to the upside and force the GBP/USD into its next horizontal resistance area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the GBP/USD remain inside the or breakout above the 1.3785 to 1.3860 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.3820
- Take Profit Zone: 1.4165 – 1.4250
- Stop Loss Level: 1.3690
Should price action for the GBP/USD breakdown below 1.3785, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.3690
- Take Profit Zone: 1.3570 – 1.3620
- Stop Loss Level: 1.3785
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