Source: PaxForex Premium Analytics Portal, Fundamental Insight
The US CPI for March is predicted to increase by 0.3% monthly and by 3.4% annualized. Forex traders can compare this to the US CPI for February, which rose by 0.4% monthly and 3.2% annualized. The US Core CPI for March is predicted to expand by 0.3% monthly and by 3.7% annualized. Forex traders can compare this to the US Core CPI for February, which rose by 0.4% monthly and 3.8% annualized.
US Preliminary Wholesale Inventories for February are predicted to rise by 0.5% monthly. Forex traders can compare this to US Wholesale Inventories for January, which decreased by 0.3% monthly.
US Crude Oil Inventories Change for the week ending April 5th are predicted at 0.900M. Traders can compare this to US Crude Oil Inventories Change for the week ending March 29th, reported at 3.210M. US Gasoline Inventories Change for the week ending April 5th are predicted at -1.320M, and US Distillate Stocks Change at -1.153M. Traders can compare this to US Gasoline Inventories Change for the week ending March 29th, reported at -4.256M, and US Distillate Stocks Change at -1.268M.
The US Monthly Budget Statement for March is predicted at -$209.4B. Forex traders can compare this to the US Monthly Budget Statement for February, reported at -$296.0B.
Traders will await today’s US CPI data, which will dictate the course of the trading session. An upside surprise like the previous report will sink US equity markets by over 1%+ while slowing inflation could spike them by 1%+. The outlook for interest rate cuts continues to darken, and markets should get comfortable with no cuts in 2024 while rising inflation could result in more interest rate increases.
The forecast for the NASDAQ100 remains cautiously bearish after this equity index is stuck at its horizontal resistance area with decreasing upside momentum. The Tenkan-sen and the Kijun-sen have flatlined and nearly merged, increasing the chances for a bearish crossover that could boost downside pressures. The Senkou Span B of the Ichimoku Kinko Hyo Cloud is flat, and the next move for the Senkou Span A could be to the downside, narrowing the Ichimoku Kinko Hyo Cloud in another bearish development. Traders should also monitor the CCI following a double breakdown from extreme overbought territory and below zero. This technical indicator continues to trade in negative conditions, but could briefly move above zero before extending its reversal with plenty of downside potential. Can bears regain control over the NASDAQ100 and force price action into a correction to challenge its horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the NASDAQ100 Index remain inside the or breakdown below the 18,140 to 18,340 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 18.215
- Take Profit Zone: 16.575 – 16.825
- Stop Loss Level: 18.500
Should price action for the NASDAQ100 Index breakout above 18,340, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 18.500
- Take Profit Zone: 18.780 – 19.060
- Stop Loss Level: 18.340
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
