Weekly Outlook: 2016, August 28 - September 04

US CB Consumer Confidence, Canadian GDP data, US ISM Manufacturing PMI as well as important employment figures including the all-important monthly NFP report on Friday. These are the main market movers on our weekly outlook.

1. US CB Consumer Confidence: Tuesday, 14:00. Economists expect consumer moral will reach 97.2 in August.
2. US ADP Non-Farm Employment Change: Wednesday, 12:15. Estimates for the ADP report are for a 173.000 job gain in August.
3. Canadian GDP: Wednesday, 12:30. The Canadian economy is expected to grow by 0.5% in June.
4. US Crude Oil Inventories: Wednesday, 14:30.
5. US Unemployment Claims: Thursday, 12:30. The number of new claims is expected to be 265,000 this week.
6. US ISM Manufacturing PMI: Thursday, 14:00. The ISM Manufacturing index is expected to reach 52 this time.
7. US Non-Farm Employment Change and Unemployment rate: Friday, 12:30. Economists expect the US economy will gain 186,000 jobs in August and the Unemployment rate will decline to 4.8%.

the source

Daily price is breaking 0.7583 support level to below for the daily secondary correction within the bullish.

• The price is breaking descending triangle pattern to below for the local downtrend as the secondary correction to be continuing.
• Chinkou Span line of Ichimoku indicator is located above Ichimoku cloud indicating the future possible breakdown to be started in the near future.
• Trend Strength indicator and Absolute Strength indicator are estimating the trend as the correctional one.

The bearish reversal level is 0.7420 support, and if the price breaks this level to below so the bearish reversal will be started.

If D1 price breaks 0.7583 support level on close bar together with descending triangle pattern to below so the local downtrend as the secondary correction will be continuing.
If D1 price breaks 0.7420 support level on close bar so the reversal of the daily price movement from the bullish to the primary bearish market condition will be started.
If D1 price breaks 0.7755 resistance level on close bar from below to above so the bullish trend will be resumed.
If not so the price will be on bullish ranging within the levels.

• Recommendation for long: watch close D1 price to break 0.7755 for possible buy trade
• Recommendation to go short: watch D1 price to break 0.7420 support level for possible sell trade
• Trading Summary: correction

Resistance	Support
0.7690	0.7583
0.7755	0.7420

SUMMARY : bullish

TREND : correction