Source: PaxForex Premium Analytics Portal, Fundamental Insight
South African M3 Money Supply for May surged by 10.30% annualized. Economists predicted an increase of 10.30%. Forex traders can compare this to South African M3 Money Supply for April, which rose by 10.14% annualized. Private Sector Credit for May expanded by 6.85% annualized. Economists predicted an increase of 6.95%. Forex traders can compare this to Private Sector Credit for April, which rose by 7.07% annualized.
US Personal Income for May is predicted to increase by 0.3% monthly and Personal Spending by 0.2% monthly. Forex traders can compare this to Personal Income for April, which rose by 0.4% monthly, and Personal Spending by 0.8% monthly. Real Personal Spending for May is predicted flat at 0.0% monthly. Forex traders can compare this to Real Personal Spending for April, which increased by 0.5% monthly. The PCE Deflator for May is predicted to increase by 0.5% monthly and 4.6% annualized. Forex traders can compare this to the PCE Deflator for April, which increased by 0.4% monthly and 4.4% annualized. The PCE Core Deflator for May is predicted to rise by 0.3% monthly and 4.7% annualized. Forex traders can compare this to the PCE Core Deflator for April, which increased by 0.4% monthly and 4.7% annualized.
The US Chicago PMI for June is predicted at 44.0. Forex traders can compare this to the US Chicago PMI for May, reported at 40.4.
The final US Michigan Consumer Sentiment for June is predicted at 63.9. Forex traders can compare this to US Michigan Consumer Confidence for May, reported at 59.2. Final Current Conditions for June are predicted at 68.0, and Final Expectations at 61.3. Forex traders can compare this to Current Conditions for May, reported at 64.9, and Expectations at 55.4.
US Quarterly Grains Stocks for the second quarter for wheat are predicted at 0.611B, for corn at 4.255B, and for soy at 0.812B. Forex traders can compare this to US Quarterly Grains Stocks for the first quarter for wheat, reported at 0.946B, corn at 7.401B, and soy at 1.685B.
The forecast for the USD/ZAR remains bearish after this currency pair advanced into its descending Ichimoku Kinko Hyo Cloud. Volatility could rise as price action trades above the flat Tenkan-sen and below the flat Kijun-sen. Traders should monitor the CCI in extreme overbought territory with fading upside momentum. A breakdown by this technical indicator below 100 could trigger a massive sell-off. Can bears force the USD/ZAR into its horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the USD/ZAR remain inside the or breakdown below the 18.6585 to 18.9610 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 18.7475
- Take Profit Zone: 17.8200 – 18.1175
- Stop Loss Level: 19.0150
Should price action for the USD/ZAR breakout above 18.9610, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 19.0150
- Take Profit Zone: 19.2775 – 19.5100
- Stop Loss Level: 18.9610
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