The US NFP Report for December is predicted to show 400K job additions and an unemployment rate of 4.1%. Forex traders can compare this to the US NFP Report for November, which showed 210K job additions and an unemployment rate of 4.2%. Private Payrolls for December are predicted to show 365K job additions and Manufacturing Payrolls 35K job additions. Forex traders can compare this to Private Payrolls for November, which showed 235K job additions, and Manufacturing Payrolls, which showed 31K job additions. The Average Work Week for December is predicted at 34.8 hours. Forex traders can compare this to the Average Work Week for November, reported at 34.8 hours. Average Hourly Earnings for December are predicted to increase 0.4% monthly and 4.2% annualized. Forex traders can compare this to Average Hourly Earnings for November, which increased 0.3% monthly and 4.8% annualized.
US Consumer Credit for November is predicted at $19.50B. Forex traders can compare this to US Consumer Credit for October, reported at $16.90B.
The Mexican CPI for December is predicted to increase 0.51% monthly and 7.51% annualized. Forex traders can compare this to the Mexican CPI for November, which increased 1.14% monthly and 7.37% annualized. The Mexican Core CPI for December is predicted to increase 0.76% monthly and 5.93 annualized. Forex traders can compare this to the Mexican Core CPI for November, which increased 0.37% monthly and 5.67% annualized.
The forecast for the USD/MXN remains bearish after the Senkou Span A crossed below the Senkou Span, resulting in a bearish crossover in the Ichimoku Kinko Hyo Cloud. Adding to downside momentum is the marginally descending Kijun-sen, while the Tenkan-sen flatlined. The CCI moved out of extreme oversold territory but failed to extend its advance. Traders should monitor for a breakdown below -100 for a final sell signal. Can bears force the USD/MXN into its next horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the USD/MXN remain inside the or breakdown below the 20.3965 to 20.5360 zone the following trade set-up is recommended:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 20.4725
- Take Profit Zone: 20.0245 – 20.1125
- Stop Loss Level: 20.7525
Should price action for the USD/MXN breakout above 20.5360 the following trade set-up is recommended:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 20.7525
- Take Profit Zone: 21.1300 – 21.1840
- Stop Loss Level: 20.5360
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