Central banks and US jobs report headline the economic docket
During the upcoming trading week, traders and investors look to a key testimony from Federal Reserve Chair Jerome Powell, and the United States monthly jobs. Economists are predicting that the US economy created fewer jobs in November than the previous month.
European Central Bank President Christine Lagarde is set to deliver a scheduled speech to investors this week, while the Reserve Bank of Australia also meets to decide on the nations interest rates and monetary policy.
The United States economy also releases Manufacturing, Private Sector Jobs, Services, Construction, and Housing sales data this week.
Monday 30th November, ECB President Lagarde Speech
The European Central Bank President Christine Lagarde is set to deliver a scheduled speech to investors, at a time when market participants are anticipating further economic stimulus from the ECB. As part of her job in the Governing Council, President Lagarde holds press conferences in detailing how the ECB observes the current and future state of the European economy. Her comments may positively or negatively effect the euro currencies trend in the short-term.
- The EURGBP pair is only bullish while trading above the 0.8900 level, further upside towards the 0.9150 and 0.9250 resistance levels seems possible.
- If the EURGBP pair trades below the 0.8900 level, sellers are likely to test towards the 0.8800 and 0.8650 support levels.
Tuesday 1st December, RBA Rate Decision
The Reserve Bank of Australia Rate Decision is the market interest rate on overnight funds, with the RBA standing as the central monetary authority for the Australian economy. The Reserve Bank of Australia is widely expected to keep interest rates on hold at this meeting, following recent rate cuts and an increase of COVID-19 infections. RBA policymakers are also tipped to strike a dovish tone as the effect of recent lockdowns continues to harm the domestic economy.
- The AUDUSD pair is bearish while trading below the 0.7060 level, key support is found at the 0.6880 and 0.6735 levels.
- If the AUDUSD pair moves above the 0.7060 level, buyers may test towards the 0.7480 and 0.7600 levels.
Wednesday 2nd December, UK Services PMI
The ADP private-sector employment change is released by Automatic Data Processing and is a measure of the change in the number of employed people in the US. Generally speaking, a rise in this indicator has positive implications for consumer spending, stimulating economic growth in the United States economy. A high reading is traditionally seen as positive for the US dollar, while a low reading is seen as negative for the US dollar.
- The GBPUSD pair is only bullish while trading above the 1.3100 level, further upside towards the 1.3500 and 1.3650 resistance levels seems possible.
- If the GBPUSD pair trades below the 1.3100 level, sellers are likely to test towards the 1.3050 and 1.2950 support levels.
Thursday 3rd December, US Continuing Jobless Claims
US Continuing Jobless Claims is released by the United States Department of Labor measure the number of individuals who are unemployed and are currently receiving unemployment benefits. It presents the strength in the labour market. A rise in this indicator has negative implications for consumer spending which discourage economic growth. Due to the ongoing COVID-19 pandemic, the Continuing Jobless Claims number can be quite volatile on a weekly basis.
- The EURUSD pair is only bullish while trading above the 1.1890 level, key resistance is found at the 1.2000 and 1.2200 levels.
- If the EURUSD pair trades below the 1.1890 level, sellers may test towards the 1.1800 and 1.1740 levels.
Friday 4th December, US Nonfarm Payrolls Job Report
The NFP job report shows the monthly change in employment in the American economy, excluding the farming sector. The Non-farm payrolls job report is the most carefully observed indicator in the employment situation inside the United States. It is considered the most inclusive calculation of job creation, which causes the Nonfarm Payrolls Job report to become highly significant to market participants, due to the great importance of labour in the United States economy.
- The USDCAD pair is only bullish while trading above the 1.3200 level, further upside towards the 1.3300 and 1.3380 resistance levels seems possible.
- If the USDCAD pair trades below the 1.3200 level, sellers are likely to test towards the 1.3000 and 1.2800 support levels.