On Thursday, the 6th of December, the macro calendar is rich in important data releases, so the global investors should keep an eye on German Factory Orders data, ADP Non-Farm Employment Change data form the US, Housing Starts and Trade Balance data from Canada and ISM Non-Manufacturing data form the US. There are speeches scheduled for today from BoC Governor Stephen Poloz, FOMC Member Raphael W. Bostic and BOE Deputy Governor for Markets & Banking Sir David Ramsden.
EUR/USD analysis for 06/12/2018:
The ISM Non-Manufaturing data are scheduled for release at 03.00 pm GMT and the market participants expect a slight decrease in figures from 60.3 to 59.2.
ISM Non-Manufacturing gauge of business conditions in non-manufacturing industries, based on measures of employment trends, prices and new orders. Though non-manufacturing sectors make up the majority of the economy, the ISM Non-Manufacturing has less market impact because non-manufacturing data tends to be more cyclical and predictable. However, these sectors do account for a considerable portion of CPI. As a result, the figure gives insight into conditions which can impact output growth and inflationary pressures.
The ISM Non-Manufacturing Index is based on a sample survey of purchasing and supply executives, weighted according to industry contribution to GDP. The Index is calculated using 50% as the centerline between positive and negative expectations; the figure is reported in headlines as the percent change.
Let's now take a look at the EUR/USD technical picture at the H4 time frame. The market is still trading insid eof the horizontal zone between the levels of 1.1301 - 1.1402 as the correction extend in time. The key support is seen at the level of 1.1266 and the key resistnace is seen at the level of 1.1471. The momentum remains neutral with a slight downside skew. The market participants should wait for the price to break above or below any of the important levels.