Source: PaxForex Premium Analytics Portal, Fundamental Insight
The New Zealand GDP for the second quarter increased 1.7% quarterly and 0.4% annualized. Economists predicted an expansion of 1.0% and 0.2%. Forex traders can compare this to the New Zealand GDP for the first quarter, which decreased 0.2% quarterly and rose 1.2% annualized. The New Zealand GDP Annual Average for the second quarter rose 1.0% quarterly, and GDP Expenditure increased 2.6% quarterly. Economists predicted a rise of 1.0% and 1.4%. Forex traders can compare this to the New Zealand GDP Annual Average for the first quarter, which surged 5.1% quarterly, and GDP Expenditure, which contracted 0.1% quarterly.
US Initial Jobless Claims for the week of September 10th are predicted at 226K, and US Continuing Claims for the week of September 3rd are predicted at 1,475K. Forex traders can compare this to US Initial Jobless Claims for the week of September 3rd, reported at 222K, and US Continuing Claims for the week of August 27th, reported at 1,473K.
The US Import Price Index for August is predicted to drop by 1.2% monthly, and the US Export Price Index by 1.2% monthly. Forex traders can compare this to the US Import Price Index for July, which contracted by 1.4% monthly, and the US Export Price Index by 3.3% monthly.
US Retail Sales for August are predicted to increase 0.2% monthly and Core Retail Sales by 0.1% monthly. Forex traders can compare this to US Retail Sales for July, which came in flat at 0.0% monthly, and Core Retail Sales, which rose 0.4% monthly. Retail Sales in the Control Group for August are predicted to rise 0.5% monthly. Forex traders can compare this to Retail Sales in the Control Group for July, which rose 0.8% monthly.
The US Empire Manufacturing Index for September is predicted at -13.00. Forex traders can compare this to the US Empire Manufacturing Index for August, reported at -31.30. The Philadelphia Fed Manufacturing Index for September is predicted at 2.8. Forex traders can compare this to the Philadelphia Fed Manufacturing Index for August, reported at 6.2.
US Industrial Production for August is predicted to increase by 0.1% monthly, and Manufacturing Production by 0.1% monthly. Forex traders can compare this to US Industrial Production for July, which rose 0.6% monthly, and Manufacturing Production, which increased 0.7% monthly. Capacity Utilization for August is predicted at 80.3%. Forex traders can compare this to Capacity Utilization for July, reported at 80.3%.
US Business Inventories for July are predicted to increase 0.6% monthly, and Business Inventories excluding Autos by 0.4%. Forex traders can compare this to US Business Inventories for June, which rose 1.4% monthly, and Business Inventories excluding Autos by 1.5%.
US Natural Gas Inventories for the week ending September 9th are predicted at 73B cubic feet. Traders can compare this to US Natural Gas Inventories for the week ending September 2nd, reported at 54B cubic feet.
The forecast for the NZD/USD turned bullish after this currency pair corrected into a multi-year horizontal support area and a key psychological support level. Volatility is expected to rise as bulls and bears square off for control over price action. Confirming the lack of bearishness are the flat Kijun-sen and Tenkan-sen. Adding to the absence of downside pressure is the flat Ichimoku Kinko Hyo Cloud, with the Senkou Span A and Senkou Span B trending sideways, enforcing the horizontal resistance area. Traders should monitor the CCI in extreme oversold conditions, which began moving higher. A breakout above -100 could trigger the next advance in this currency pair. Can bulls overcome bearish attacks and push the NZD/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 NZD/USD remain inside the or breakout above 0.5975 to 0.6025 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 0.6000
- Take Profit Zone: 0.6205 – 0.6260
- Stop Loss Level: 0.5920
Should price action for the NZD/USD breakdown below 0.5975, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 0.5920
- Take Profit Zone: 0.5800 – 0.5840
- Stop Loss Level: 0.5975
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