UK Manufacturing PMI 01/04/10

4:30am (NY Time) UK Manufacturing PMI  Forecast 52.1   Previous 51.8
ACTION: GBP/USD        BUY 54.1         SELL 49.8

Our focus for the London Session today will be on the Manufacturing PMI number from UK, it is expected to be at 52.0 and it is considered as a positive release given the fact that anything above the 50 level means expansion in the manufacturing sector, and a slightly better estimate than the previous release of 51.8

We are looking for a difference or deviation of 2.0, and remember that this is a leading indicator and its impact may affect the trend of this currency for the remainder of the week, or at least for the next few days. If our BUY/SELL numbers are hit, we can expect GBP/USD to move 50 pips within the hour.  Given the fact that the market might still be relatively low in liquidity, any strong surprise may help to push this currency to the recent support/resistance levels.

DEFINITION:

“UK Manufacturing PMI is a survey of purchasing managers in the manufacturing sector on various economic activities, including inventory, employment, orders, etc… A higher than 50 reading means expansion, or a less than 50 reading means contraction.”

Related posts:

1. UK Manufacturing PMI m/m 12/01/09
2. Strategy For UK Manufacturing PMI 06/01/10
3. UK Manufacturing PMI 02/01/10
4. UK Manufacturing PMI 04/01/10
5. UK Manufacturing PMI 03/01/2010
6. Forex Trading Plan For UK Manufacturing PMI 07/01/10
7. UK Manufacturing PMI 11/02/09
8. Forex News Strategy UK Manufacturing PMI – 11/01/10
9. Forex News Trading UK Manufacturing PMI 03/01/11
10. Forex News Trading UK Manufacturing PMI 05/03/11

Tagged as: economic activities, GBP, Leading Indicator, Manufacturing PMI, manufacturing sector, PMI, Purchasing Manager's Index, purchasing managers, Sterling, Survey, UK