EUROPEAN SESSION
A) CALENDAR
-GMT 07:55 GER Serv. PMI (Sep) EST 56.1 PREVIOUS 59.8
Definition
The Index is widely used by industrialized economies to assess business confidence. Germany, Japan and the UK use PMI surveys for both manufacturing and services industries. The numbers are arrived at through a series of questions regarding Business activity, New Business, Employment, Input Prices, Prices Charged and Business Expectations. In addition to the headline figures, the prices paid components is highly scrutinized by the markets for evaluating pricing power and inflationary risks.
-GMT 08:00 EU Serv. PMI (Sep) EST 54.0 PREVIOUS 58.0
Definition
The Index is widely used by industrialized economies to assess business confidence. Germany, Japan and the UK use PMI surveys for both manufacturing and services industries. The numbers are arrived at through a series of questions regarding Business activity, New Business, Employment, Input Prices, Prices Charged and Business Expectations. In addition to the headline figures, the prices paid components is highly scrutinized by the markets for evaluating pricing power and inflationary risks.
-GMT 08:30 UK Serv. PMI (Sep) EST 56.8 PREVIOUS 57.6
Definition
The Index is widely used by industrialized economies to assess business confidence. Germany, Japan and the UK use PMI surveys for both manufacturing and services industries. The numbers are arrived at through a series of questions regarding Business activity, New Business, Employment, Input Prices, Prices Charged and Business Expectations. In addition to the headline figures, the prices paid components is highly scrutinized by the markets for evaluating pricing power and inflationary risks.
-GMT 09:00 EU Retail sales (m/m), (Aug) EST 0.2% PREVIOUS 0.1%
-GMT 09:00 EU Retail sales (y/y), (Aug) EST 0.5% PREVIOUS 0.5%
Definition
The retail sales report is a measure of the total receipts of retail stores from samples representing all sizes and kinds of business in retail trade throughout the nation. It is the most timely indicator of broad consumer spending patterns and is adjusted for normal seasonal variation, holidays, and trading-day differences. Retail sales include durable and nondurable merchandise sold, and services and excise taxes incidental to the sale of merchandise. Excluded are sales taxes collected directly from the customer. It also excludes spending for services, a large component of consumer
expenditures. Retail sales is a the first picture of consumer spending for a given month. Retail sales are often viewed ex-autos, as auto sales can move sharply from month-to-month. Also, gas and food component changes are often a result of price changes rather than shifting consumer demand. Retail sales can be quite volatile and the advance reports are subject to large revisions.
B) SUPPORT-RESISTANCE
EURO/USD USD/JPY GBP/USD
R3 1.4215 116.50 2.0515
R2 1.4195 116.35 2.0490
R1 1.4175 116.05 2.0450
S1 1.4135 115.50 2.0370
S2 1.4115 115.30 2.0330
S3 1.4090 115.05 2.0295
C) WATCH
-Interest Rates
-GMT 08:00 EU Serv. PMI
-GMT 08:30 UK Serv. PMI
-GMT 09:00 EU Retail sales
D) TRADING TIPS
For more significance of the trend-changing signal, a breakout should be followed by two consecutive closes outside the trendline. Even after confirmation, the breakout is still likely to be followed by a period of consolidation. It is relatively rare for a trendline to suddenly reverse its direction.