Weekly Game Plan – 6.12.2015

1. Themes for the week

Keep in mind that trading will be winding down now for the Holiday season. So expect worse liquidity and less predictable reactions from the market. It might be wise to reduce the amount of risk you allocate to fresh positions.

Strong US November employment report supports market expectations for Fed hike. This week we basically only have Retail Sales (Fri) to help with those expectations. For risk appetite, figures on China’s November international trade (Tue) and CPI (Wed) should provide some reassurance that the
midsummer fears of a hard Chinese landing are unlikely to transpire.
Draghi underwhelmed, even though some expansion of QE was delivered. Markets will be hoping that upcoming speeches by several Council members including Constancio (Mon), Nowotny (Wed), Weidmann, Liikanen and Coeure (all Thur) shed more light on the contours of the debate as well as the prospects for further action over the coming months.
UK Monetary Policy Committee to maintain policy stance (Thur).

– OPEC announced that production would be left unchanged, in line with what most analysts expected. Pressure is still to the downside in Crude.

2. Charts in line with these themes