Forex Weekly Outlook, Dec 24-28 – Trading the Christmas Week
Arslan Butt • 2 min read
The trading volumes are assumed to remain light during the week due to the Christmas vacation as many traders already concluded books before the end of the year. Speaking of the fundamentals, the economic calendar is displaying very little data as most of the financial institutes are closed and will be back in the first week of January 2019.
Key Economic Figures This Week
Monday, December 24
The financial markets are closed over Christmas holidays; however, forex brokers will allow trading activities for limited time periods. Follow the schedule below.
Tuesday, December 25
All of the financial markets will be closed in observance of Christmas Day.
Wednesday, December 26
The US will release the latest report on home prices from S&P/Case-Shiller. It’s a leading indicator of consumer inflation – when corporations pay more for services, the higher costs are usually passed on to the consumer.
The data is due at 23:50 (GMT), and economists are expecting a flat rate of 1.3%.
Thursday, December 27
The US will publish data on CB consumer confidence, weekly jobless claims, and new home sales.
CB Consumer Confidence – It’s due at 15:00 (GMT) with a negative forecast of 133 vs. 135.7. The dollar may trade bearish over this forecast as it’s one of the hottest news due this week.
Unemployment Claims will be coming out at 13:30 (GMT) with a slight negative forecast of 200K vs. 214K in the previous week.
Meanwhile, the New Home Sales are due at 15:00 (GMT). It’s a low impact economic event, yet it may be in focus in the absence of top-tier events.
Friday, December 28
The US and Eurozone will be closing the week with data on German Prelim CPI m/m and Chicago PMI.
German Prelim CPI m/m – The Destatis will be releasing the figures during the London session with a forecast of 0.3% rise in prices vs. 0.1% previously. The figure may underpin the single currency Euro on Friday
Chicago PMI – The US ISM-Chicago, Inc. is scheduled to release the data at 14:45 (GMT) with a negative forecast of 61.2, down from 66.4 in November 2018. However, it’s really hard to catch the price fluctuations on this event. That’s because data is given to MNI subscribers 3 minutes before the public release time listed on the calendar.
The early market reaction is usually a result of trades made by these subscribers. Above 50.0 indicates expansion, below indicates contraction.