Weekly Game Plan 31 Jul 17: FXRenew

North Korea launched another successful ICBM, but the markets are largely ignoring the rising nuclear threat. After all, the US has already invented lazer guns. Political shenanigans continue in Washington and have further delayed any possible progress on tax reforms or healthcare bills. The USD is still in jeopardy. Main events in FX are the RBA & BOE ahead of the all-important NFP-Friday.

USD: busy week for US data with Chicago PMI and Pending Homes Sales (Mon), ISM Manuf & core PCE Price Index (Tue), ADP (Wed), ISM non-manuf-Factory Orders-Durable Goods (Thurs), and US non-farm payrolls for July (Fri). The USD is starting the week on the back foot however.

EUR: we get  EU Flash CPI readings (Mon), EU Manuf PMI  and Q2 GDP (Tue), EU Services PMI and Retail Sales (Thur), Ger Industrial Orders (Fri). The market still maintains a bullish slant on the Euro.

GBP:  beyond Super Thursday (BOE + Inflation Report) we get UK Manuf PMI (Mon), Constr PMI (Tue) and Services PMI (Wed).

CAD: Employment & IVEY PMI both come out on Friday

AsiaPac:  China official MFG and non-MFG PMI (Mon), Caixin MFG PMI (Tue), Caixin Services PMI (Wed). It will be a busy week in Australia with Housing data (Mon), RBA (Tue), Building Approvals (Wed), Trade Data (Thur), Retail Sales and RBA minutes (Fri).

Going into the week I remain bullish on Dow & Crude, bearish on the USD. The USD is a basket case but I think one of the clearest fundamentally driven moves is on the Canadian dollar.

About the Author

Justin is a Forex trader and Coach. He is co-owner of www.fxrenew.com, a provider of Forex signals from ex-bank and hedge fund traders (get a free trial), or get FREE access to the Advanced Forex Course for Smart Traders. If you like his writing you can subscribe to the newsletter for free.

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