Source: PaxForex Premium Analytics Portal, Fundamental Insight
The Singapore Trade Balance for September came in at S$4.943B. Forex traders can compare this to the Singapore Balance for August, reported at S$3.215B. Non-Oil Exports for September surged by 11.1% monthly and plunged by 13.2% annualized. Economists predicted a rise of 3.2% and a drop of 14.2%. Forex traders can compare this to Non-Oil Exports for August, which collapsed by 6.6% monthly and 22.5% annualized.
US Retail Sales for September are predicted to increase by 0.3% monthly and Core Retail Sales by 0.2% monthly. Forex traders can compare this to US Retail Sales for August, which rose by 0.6% monthly and Core Retail Sales by 0.6% monthly.
US Industrial Production for September is predicted to expand by 0.1% monthly, and Manufacturing Production by 0.1% monthly. Forex traders can compare this to US Industrial Production for August, which rose by 0.4% monthly, and Manufacturing Production, which increased by 0.1% monthly. Capacity Utilization for September is predicted at 79.6%. Forex traders can compare this to Capacity Utilization for August, reported at 79.7%.
US Business Inventories for August are predicted to increase by 0.3% monthly, and Retail Inventories excluding Autos by 0.6%. Forex traders can compare this to US Business Inventories for July, which were flat at 0.0% monthly, and Retail Inventories excluding Autos, which were flat at 0.0%.
The US Monthly Budget Statement for September is predicted at -$78.6B. Forex traders can compare this to the US Monthly Budget Statement for August, reported at $89.3B.
The forecast for the USD/SGD remains cautiously bearish as this currency pair struggles to push through its horizontal resistance area. Adding to downside pressures is the bearish crossover of the descending Tenkan-sen below the flat Kijun-sen. The Ichimoku Kinko Hyo Cloud stopped its upward movement with the Senkou Span A and the Senkou Span B flat, suggesting the next move could narrow the cloud in a bearish development. Traders should also monitor the CCI after completing a double breakout from extreme oversold territory and above zero. This technical indicator lacks the upside momentum to extend its advance, and a reversal into negative territory could spark the next correction in this currency pair. Can bears overpower bulls and regain control of the USD/SGD to pressure price action into its horizontal support area and a potential multi-month low dating back to August? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the USD/SGD remain inside the or breakdown below the 1.3660 to 1.3710 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Long Position @ 1.3680
- Take Profit Zone: 1.3450 – 1.3505
- Stop Loss Level: 1.3750
Should price action for the USD/SGD breakout above 1.3710, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 1.3750
- Take Profit Zone: 1.3800 – 1.3845
- Stop Loss Level: 1.3710
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
