When is the US ISM Non-Manufacturing PMI and how could it affect EUR/USD?
US ISM Non-Manufacturing PMI Overview
The Institute of Supply Management (ISM) will release the Non-Manufacturing Purchasing Managers' Index (PMI), also known as the ISM Services PMI at 1500 GMT this Monday. The consensus forecast for December stands at 59.0, down from previous month's stronger than expected reading of 60.7, and falling farther from September's 61.6 - the highest since the inception of the composite index in 2008.
Deviation impact on EUR/USD
Readers can find FX Street's proprietary deviation impact map of the event below. As observed, the reaction in case of a relative deviation of +0.90 or -0.69 is likely to be in the range of 22-29 pips in the first 15-minutes and could stretch to around 68-103 pips in the subsequent 4-hours. In the last five releases, the pair moved, on an average, 13-pips in the first 15-minutes after the data release and 38-pips in the following 4-hours.
How could it affect EUR/USD?
Ahead of the release, Yohay Elam, FXStreet's own Analyst offers important technical levels to trade the major: "Some resistance awaits at 1.1440, the fresh daily high and a level that capped the pair in early December. 1.1485 was a peak in mid-December. 1.1500 is the high point seen in November. 1.1550 and 1.1620 are next."
"Minor support awaits at 1.1410 which held EUR/USD down at the wake of the year. 1.1380 worked in both directions and is where we see the 200 SMA. 1.1345 was a swing low last week. 1.13010 and 1.1270 are next down the line," he added further.
• U.S. ISM non-manufacturing PMI expected to ease in December 2018
• EUR/USD Forecast: Enjoying the Powell Put but we've been here before
• EUR/USD Technical Analysis: Upper bound of consolidation awaits near 1.1475
About the US ISM non-manufacturing PMI
The ISM Non-Manufacturing Index released by the Institute for Supply Management (ISM) shows business conditions in the US non-manufacturing sector. It is worth noting that services constitute the largest sector of the US economy and result above 50 should be seen as supportive for the USD.