UK Services PMI - Services Purchasing Manager Index today

UK Services Purchasing Manager Index today at 4:30 am NY Time ( 10.30 Uhr MEZ )

UK Services Purchasing Manager’s Index (PMI) measures the activity level of purchasing managers

UK Services Purchasing Manager Index ( PMI )  is a main indicator

We’ll be trading the UK Services Purchasing Manager Index ( PMI ) on Tuesday at 4:30am (NY Time). This is a main indicator similar to the Manufacturing PMI that was launched early this week.


DEFINITION:

The Chartered Institute of Purchasing and Supply (CIPS) Services Purchasing Manager’s Index (PMI) measures the activity level of purchasing managers within the providers sector, with a reading above 50 indicating expansion. A rising pattern has a positive effect on the nation’s currency. To supply the index, buying managers are surveyed on a lot of topics including employment, manufacturing, new orders, provider deliveries, and inventories. Merchants watch these surveys closely because buying managers, by virtue of their jobs, have early access to information about their firm’s efficiency, which generally is a leading indicator of overall financial performance.

The Market

UK economy continued to deteriorate and the market is gearing up for further promote-offs of GBP on any unfavorable data. With 2nd Quarter GDP missing expectation, Manufacturing PMI disappointing the market, the Providers PMI in the present day will in all probability be an enormous market mover if it surprises the market, in either direction.

THE TRADE PLAN

The Services PMI is tradable with a minimum deviation of 2.5 between the forecast and the actual release. If we get at least 57.0 or higher, we might see some demand in the GBP and we’ll think about BUYING GBP/USD or GBP/JPY pairs. If we get a 52.0 or lower, GBP may weaken and we must always look to SELL GBP/USD or GBP/JPY pairs. If the precise launch is under the medium 50 level, then we must always leap in (spike commerce) and SELL GBP/USD or GBP/JPY pairs.






4:30am (NY Time) UK Services PMI
Forecast 53.5            Previous 53.8

ACTION:
GBP/USD BUY 56.0 /  SELL 51.0

Additional Ideas

UK’s economy is 87% service related. If we get a robust launch on this PMI, we could see GBP sentiment flip bullish regardless of the truth that the PMI launch doesnt change the long-term trend. As a number one indicator launched early in the month, it helps to define the development for the rest of the month.