UK Services Purchasing Manager Index will be released today at 4:28am (NY Time) as usual, and this release should have plenty of impact on the direction of the Sterling, especially considering that based on correlation to the Euro, unless we get a strong release, market could turn on the GBP.
4:28am (NY Time) UK Services PMI Forecast 59.1 Previous 58.5
The Services PMI is tradable with a minimum deviation of 2.5 between the forecast and the actual release. If we get at least 61.6 or better, we could see some demand in the GBP and we will consider BUYING GBP against weaker currencies. If we get a 56.6 or lower, GBP could weaken and we should look to SELL GBP against stronger currencies.
Use the after-news trading method. For more information on my methods: http://www.currencynewstrading.com/how-to-get-started-with-news-trading/
I’d recommend to use the Recommended Pairs from above as they are based on my CSM, which should provide the best combination of currency pairs to trade based on better/worse news… of course, you can also trade the default pair: GBPUSD.
UK Services PMI | February 5, 2014 | Currency News
February 3, 2014 by Leave a Comment