The OPEC meeting and the US Nonfarm Payrolls rocked the market last week. The market is torn between optimism about the global economic recovery and concerns about the new coronavirus strains.
Volatility for the EUR is coming
What will happen?
Eurozone, France, and Germany will publish the flash services and manufacturing PMIs on February 19, from 10:15 to 11:00 MT time. These indicators represent indexes based on the surveys of purchasing managers from a particular industry. Combined, they provide a big boost in the volatility of the EUR during the early hours of the European trading session.
How to trade on the European PMIs?
The indicators provide a broad view of businesses' thoughts on current economic conditions. If an index is above 50, it indicates an expansion of an industry. Vice versa, if an index lower than 50, the industry is contracting. Additionally to these measures, we compare the actual data with analytical forecasts.
- If the figures are higher than the forecasts, the EUR will strengthen.
- If the figures are lower than expected, the EUR will slide.
Instruments to trade: EUR/USD, EUR/GBP, EUR/CHF
Great Britain will publish its trade balance for April on June 11, at 09:00 MT time.
Once in a month, the euro has a very special day of increased volatility at the start of the European trading session.
The US dollar is heading to close the seventh day in the red as it remains under selling pressure. The US data at 15:30 GMT+3 (jobless claims and Philly Fed Manufacturing Index) may support the greenback if it's strong.
Canada will publish the Retail Sales and Core Retail Sales on October 22, at 15:30 MT time (GMT+3).
The United States will release the weekly Unemployment Claims on October 21, at 15:30 MT time (GMT+3).