This is one of the most difficult weeks for traders to trade. The choppiness of the markets is damaging a lot of trades. When will the geopolitical tensions ease up a little?
EU and UK Services PMI
Today we have the EU and UK Service PMI numbers coming out with a 30-minute difference. The European Services PMI is expected to stay the same at 55, where the UK’s figure is forecast to slightly diminish by half a point. It is expected that the new figure could go down from 54.5 to 54. The previous month’s figure of 54.5 was a good rise from January’s 53 mark, even though the expectations then were that the Services PMI could only rise to 53.3. Certainly, the number must still pick up the pace, in order to get back to the highs of Autumn 2013. UK’s Services PMI accounts for around 80% of the country’s economic output, hence why it is so heavily monitored by economists and traders.
Germany, Sweden, Ireland, Spain and France are also joining the group of those, whose Service PMI figures will be out today, during the morning of the European trading session.
EUR/GBP – Technical Outlook
The EUR/GBP had a choppy session yesterday, potentially stopping out traders from their positions. We can see that for now, the pair is struggling to break below the 0.87150 level, which is acting as a strong support. Overall, the EUR/GBP is still within a downwards moving channel, but recently, it looks like the pair started to form a range between approximately 0.87 and 0.88.
Read the full financial markets daily report on JFD Research.