US ADP Up Next
The main data focus for today’s US session will be the ADP employment figure. With the reading often used as proxy for gauging the NFP release to follow, today’s data holds the potential to create plenty of market volatility if we see any significant surprise.
Consensus forecasts for the release are focusing on the 695k figure, which would mark an uptick from the prior 692k reading. However, given that USD has fallen from favour recently, it would likely take a very strong reading to cause an upside shift ahead of the NFP release on Friday.
Where to Trade the Release?
GBPUSD
Following the downside break of 1.3676, the pair has since reversed sharply and is now close to seeing a breakout above the 1.3997 level. This has been a key level for the pair this year and a move back above the level would be a firm bullish development. With MACD and RSI supporting, any USD weakness today could see the pair back above 1.3997, putting the focus on 1.4248 as an initial target.
Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
Past performance is not indicative of future results.
High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Futures and Options: Trading futures and options on margin carries a high degree of risk and may result in losses exceeding your initial investment. These products are not suitable for all investors. Ensure you fully understand the risks and take appropriate care to manage your risk.
With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.