Germany’s inflation rate is expected to be 2.4% in May 2024, measured by the year-on-year change in the consumer price index (CPI). Consumer prices are anticipated to rise by 0.1% compared to April 2024. Core inflation, excluding food and energy, is projected at 3.0%. Despite the removal of the energy price brake, a higher carbon price, and the end of the temporary VAT reduction for gas and district heating, energy prices in May 2024 were 1.1% lower than a year earlier. Food prices increased by 0.6%, which is significantly lower than the overall rate of price increase.
EURAUD – H4 Timeframe
EURAUD on the 4-hour timeframe has recently broken above the previous high, indicating a bullish trend. I expect to see price sweep the liquidity from the immediate low before the bullish trend resumes around the 88% of the Fibonacci retracement tool. The trendline support is also an additional confluence to the bullish sentiment.
Analyst’s Expectations:
- Direction: Bullish
- Target: 1.63669
- Invalidation: 1.62030
EURGBP – D1 Timeframe
The Daily timeframe of EURGBP seems to be printing a QMR pattern. The previous low was swept just before the break of structure. In line with the break of structure, the plotted Fibonacci retracement presents an ample opportunity for a bullish entry from the 88% of the Fibonacci tool. The drop-base-rally serves as the final confirmation for the bullish entry.
Analyst’s Expectations:
- Direction: Bullish
- Target: 0.90255
- Invalidation: 0.83284
EURNZD – D1 Timeframe
On the Daily timeframe of EURNZD, we see price break above the previous high, creating an opportunity to plot a Fibonacci retracement. The 76% and 88% of the Fibonacci present the most reliable areas of entry for the bullish sentiment based on the presence of the rally-base-rally demand, and the trendline support.
Analyst’s Expectations:
- Direction: Bullish
- Target: 1.80247
- Invalidation: 1.74310
CONCLUSION
The trading of CFDs comes at a risk. Thus, to succeed, you have to manage risks properly. To avoid costly mistakes while you look to trade these opportunities, be sure to do your due diligence and manage your risk appropriately.
. Consumer prices are anticipated to rise by 0.1% compared to April 2024. Core inflation, excluding food and energy, is projected at 3.0%. Despite the removal of the energy price brake, a higher carbon price, and the end of the temporary VAT reduction for gas and district heating, energy prices in May 2024 were 1.1% lower than a year earlier. Food prices increased by 0.6%, which is significantly lower than the overall rate of price increase.){kind=link}