Should investors be on the lookout for the series of economic indicators to be released in U.S. time?
24.01.2023
- UK Manufacturing/Services PMI
- U.S. Richmond Fed Manufacturing Index
U.S. currencies were firm the previous day as the Dollar Index recovered to 102.2, limiting the downside for the U.S. dollar; the GBP/USD pair fell by about 120 pips from 1.2447 to 1.2322.GBP/USD had been rising along the 10-day moving average (MA) since the 6th of this month, but its upside was capped as it reached its recent high. On the weekly chart, the 75-day MA is beginning to act as resistance, so we will be watching closely to see if the pullback continues.
Among European currencies, the euro, like the pound, weakened against the U.S. dollar. The euro/dollar pair fell by about 80 pips from 1.0926 to 1.0845.Although the EUR/USD pair has not yet fallen below the 20-period moving average on the 4-hour chart, the daily RSI is hovering just below 70 and showing signs of divergence; therefore, traders should remain cautious of price fluctuations triggered by economic data releases during U.S. trading hours.
Today, the German GfK Consumer Confidence Survey is scheduled for 4:00 p.m., the French Manufacturing/Services PMI for 5:15 p.m., and the GermanManufacturing/Services PMI at 5:30 p.m., the Eurozone Manufacturing/Services PMI at 6:00 p.m., the UK Manufacturing/Services PMI at 6:30 p.m., remarks by ECB President Lagarde at 6:45 p.m., the U.S. Manufacturing/Services PMI at 11:45 p.m.,at 24:00: U.S. Richmond Fed Manufacturing Index; at 25:30: Remarks by Swiss National Bank (SNB) Vice Chairman Schlegel; and at 27:00: U.S. 2-year Treasury auction. We will monitor currency strength and weakness while keeping an eye on the succession of economic indicators scheduled for release during U.S. trading hours.
Author: Keisuke Sakurai
