TRADERS LOOK TOWARDS GLOBAL CPI AND GDP DATA

CPI AND GDP

During the upcoming trading week global Consumer Price Index and Gross Domestic Product data is heavily in focus. We also see the release of key Retail Sales numbers from the World's two largest economies, America and China. The German economy releases the all-important German ZEW survey, and we also get key monthly jobs numbers from the United Kingdom and Australian economies.

Traders will also be watching the cryptocurrency market and the US dollar index, after both suffered heavy declines during the previous trading week.

Monday 14th May, OPEC Meeting

OPEC is the Organization of the Petroleum Exporting Countries, and their mandate is to ensure the stabilization of Oil markets in order to secure an efficient, economic and regular supply of petroleum to consumers. OPEC is attended by representatives from thirteen oil-rich nations, and this week's meeting is very important because of rising Oil prices and continued tensions in the middle-east.

The USDCAD pair is bearish while trading below the 1.2900 level, further downside towards 1.2740 and 1.2650 seems possible.
If the USDCAD pair moves above the 1.2900 level, buyers are likely to test the 1.3000 and 1.3120 resistance levels.

Tuesday 15th May, Eurozone GDP

The Eurozone Gross Domestic Product number is released by Eurostat, and it is a measure of the total value of all goods and services produced by the Eurozone. GDP is the most easily comprehensible mean of measuring the economic output, and facilitates key insight in regards to the driving forces of the economy. Given its significance however, the Eurozone GDP number tends to move the market when released, especially if it upsets expectations.

The EURUSD pair is bearish while trading below the 1.2000 level, further losses towards the 1.1890 and 1.1800 levels remains possible.
If the EURUSD pair moves above the 1.2000 level, buyers may test towards the 1.2154 and 1.2248 levels.

Wednesday 16th May, Japanese GDP

Japanese quarter-on-quarter Gross Domestic Product is expected to increase by 0.2 percent, which is slightly worse than the 0.4 percent figure seen in the previous fiscal quarter. Japanese Gross Domestic Product, is released by the Cabinet Office, and measures the overall production and consumption of goods and services in Japan for a certain period of time. It is one of the primary indicators of economic health, and is also watched closely by the Bank of Japan.

The USDJPY pair is bullish while trading above the 109.00 level, further upside towards the 110.10 and 100.80 levels seems possible.
If the USDJPY pair declines below the 109.00 level, sellers are likely to test the 108.60 and 107.85 support regions.

Thursday 17th May, Australian Unemployment Rate

The Australian Unemployment Rate, release by the Australian Bureau of Statistics, measures the percentage of the total workforce that is unemployed and actively seeking employment during the previous month. The figure has a significant impact on the market because of the overall importance of employment for the economy.

The AUDUSD pair is bearish while trading below the 0.7600 level, further losses towards the 0.7410 and 0.7330 levels may occur.
If the AUDUSD pair trades above the 0.7600 level, buyers may test towards the 0.7650 and 0.7711 levels.

Friday 18th May, Canadian CPI

The Consumer Price Index, released by the Statistics Canada, measures the change in the price of goods and services from the perspective of the consumer. It is the most important indicator of inflation in Canada, and any large increase in CPI can stimulate the Bank of Canada to raise interest rates in order to manage inflation and slow economic growth. Large rises in CPI in a short period of time indicates periods of inflation, while large decreases in CPI during a short period of time usually mark periods of deflation.

The AUDCAD pair is bearish while trading below the 0.9850 level, further downside towards 0.9600 and 0.9510 seems possible.
If the AUDCAD pair moves above the 0.9850 level, buyers are likely to test the 0.9910 and 0.9970 resistance levels.