Source: PaxForex Premium Analytics Portal, Fundamental Insight
The UK Jobless Claims Change for February came in at -48.1K. Economists predicted a figure of -28.0K. Forex traders can compare this to the UK Jobless Claims Change for January, reported at -31.9K.
The UK Employment Change for the tri-monthly period ending in January came in at -12K and the ILO Unemployment Rate at 3.9%. Economists predicted a reading of 23K and 4.0%. Forex traders can compare this to the UK Employment Change for December, reported at -38K, and the ILO Unemployment Rate, reported at 4.1%. Average Weekly Earnings for the tri-monthly period ending in January increased 4.8% annualized, and Average Weekly Earnings Excluding Bonuses rose 3.8% annualized. Economists predicted a rise of 4.6% and 3.7%. Forex traders can compare this to Average Weekly Earnings for December, which rose 4.6%, and Average Weekly Earnings Excluding Bonuses, which increased 3.7%.
The US PPI for February is predicted to increase 0.9% monthly and 10.0% annualized. Forex traders can compare this to the US PPI for January, which rose 1.0% monthly and 9.7% annualized. The US Core PPI for February is predicted to expand 0.6% monthly and 8.7% annualized. Forex traders can compare this to the US Core PPI for January, which increased 0.8% monthly and 8.3% annualized.
The US Empire Manufacturing Index for March is predicted at 7.00. Forex traders can compare this to the US Empire Manufacturing Index for February, reported at 3.10.
The forecast for the GBP/USD is slowly turning bullish after this currency pair stabilized at the psychological support level of 1.3000. Confirming the lack of bearish pressures are the flat Kijun-sen and flat Tenkan-sen. The Ichimoku Kinko Hyo Cloud narrowed but is showing signs of bullishness, with the Senkou Span B moving higher. After moving higher in extreme oversold territory, traders should monitor the CCI for a sustained breakout above -100. Will bulls gather enough strength to force the GBP/USD into its 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 1.3000 to 1.3080 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.3030
- Take Profit Zone: 1.3380 – 1.3455
- Stop Loss Level: 1.2920
Should price action for the GBP/USD breakdown below 1.3000, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 1.2920
- Take Profit Zone: 1.2725 – 1.2800
- Stop Loss Level: 1.3000
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