Last week was very interesting for the markets, as we saw the releases of the US Inflation and Disney’s earnings report. So let's see what we should await this week!
PMI reports on Wednesday will influence EUR, GBP, and USD
What will happen?
Wednesday will please traders as many economic indicators will be out! The USA, UK, and Euro Area will release PMI reports on June 23 from 10:15 to 16:45 MT. The full schedule is presented in the picture below. What to expect? All the countries are gradually recovering from the Covid-19 pandemic crisis, thus, in general, the figures are getting better and better. However, the UK has tightened the social distancing rules as virus cases continue to rise, so its data can come worse.
How to trade on the PMI reports?
The good thing about these releases is that they are easy to interpret.
- If the actual numbers are better than the forecasted, the currency will rise.
- If the releases disappoint, the currency will fall.
One more tip! Ahead of the release, determine support and resistance levels for the pairs that have the needed currency in them (for example, for EU PMI report – EUR/USD). If the difference between the forecast and the actual number is big, the price will likely break those levels.
Instruments to trade: EUR/USD, EUR/GBP, GBP/USD
The volatility that the markets experienced last week promises the second tidal wave! What should your favorite assets anticipate during the first week of February?
The US will reveal Non-farm payrolls on January 7, Friday, at 15:30 GMT+2 (MetaTrader time).
The Australian Bureau of Statistics will announce the updated Unemployment Rate and Employment Change data on Thursday, May 19, at 04:30 MT.
The UK Office for National Statistics will publish Consumer Price Index (CPI) data on Wednesday, May 18, at 09:00 MT.
The US Census Bureau will announce Core Retail Sales and Retail Sales on Tuesday, May 17 at 15:30 MT.