Sample Category Title

Pivot (invalidation): 0.9965

Our preference Short positions below 0.9965 with targets at 0.9935 & 0.9915 in extension.

Alternative scenario Above 0.9965 look for further upside with 0.9980 & 1.0000 as targets.

Comment As Long as the resistance at 0.9965 is not surpassed, the risk of the break below 0.9935 remains high.

Pivot (invalidation): 112.30

Our preference Long positions above 112.30 with targets at 112.60 & 112.85 in extension.

Alternative scenario Below 112.30 look for further downside with 112.15 & 111.95 as targets.

Comment The RSI calls for a new upleg.

Pivot (invalidation): 1.2965

Our preference Long positions above 1.2965 with targets at 1.3005 & 1.3045 in extension.

Alternative scenario Below 1.2965 look for further downside with 1.2935 & 1.2900 as targets.

Comment A support base at 1.2965 has formed and has allowed for a temporary stabilisation.

Pivot (invalidation): 1.1450

Our preference Long positions above 1.1450 with targets at 1.1490 & 1.1515 in extension.

Alternative scenario Below 1.1450 look for further downside with 1.1430 & 1.1400 as targets.

Comment Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.

Pivot (invalidation): 67.20

Our preference Short positions below 67.20 with targets at 65.70 & 65.05 in extension.

Alternative scenario Above 67.20 look for further upside with 67.90 & 68.50 as targets.

Comment The RSI is capped by a declining trend line.

Pivot (invalidation): 14.7000

Our preference Long positions above 14.7000 with targets at 14.8400 & 14.9100 in extension.

Alternative scenario Below 14.7000 look for further downside with 14.6500 & 14.5900 as targets.

Comment The RSI is bullish and calls for further upside.

Pivot (invalidation): 1229.00

Our preference Long positions above 1229.00 with targets at 1236.50 & 1240.00 in extension.

Alternative scenario Below 1229.00 look for further downside with 1225.00 & 1220.00 as targets.

Comment The RSI is bullish and calls for further upside.

Eurozone PMI manufacturing dropped to 52.1 in October, down from 53.2 and missed expectation of 53.1. That's a 26-month low. PMI services dropped to 53.3, down from 54.7 and missed expectation of 54.5. That's a 24- month low. PMI composite dropped to 52.7, down from 54.1, hit a 25-month low.

Commenting on the flash PMI data, Chris Williamson, Chief Business Economist at IHS Markit said:

"The pace of Eurozone economic growth slipped markedly lower in October, with the PMI setting the scene for a disappointing end to the year. The survey is indicative of GDP growth waning to 0.3% in the fourth quarter, and forward-looking indicators, such as measures of future expectations and new business inflows, suggest further momentum could be lost in coming months.

"The slowdown is being led by a drop in exports, linked in turn by many survey respondents to trade wars and tariffs, which appears to have darkened the global economic environment and led to increased risk aversion. It is therefore not surprising to see the slowdown broadening out across the economy, hitting the service sector.

"The survey will make for uncomfortable reading at the ECB. Although the survey's price gauges remain elevated and close to seven-year highs, the headline PMI has fallen to a level that would historically be consistent with a bias towards loosening monetary policy in order to prevent any further deterioration of economic growth."

Full release here.

EUR/USD

Current level - 1.1465

No change here, as the pair continues to struggle above 1.1430 support and I favor a break through the latter to initiate a slide towards 1.1300.

USD/JPY

Current level - 112.57

Yesterday's slide bottomed precisely at 111.90 support and current rebound should be considered corrective, preceding another dip, to 111.60 zone.

GBP/USD

Current level - 1.2978

The downtrend is still underway and the outlook is bearish, for a dip to 1.2870 zone. Crucial on the upside is 1.3100 hurdle.

Germany PMI manufacturing dropped to 52.3 in October, down from 53.7 and missed expectation of 53.5. That's a 29-month low.

PMI services dropped to 53.6, down from 55.9 and missed expectation of 55.5. That's a 5-month low. PMI composite dropped to 52.7, down from 55.0, hit a 41-month low.

Commenting on the flash PMI data, Phil Smith, Principal Economist at IHS Markit said:

"October's flash PMI results made for unpleasant reading, with data showing slowdowns in rates of growth across all the main measures of business performance: output, new orders and employment. The rise in overall business activity was the weakest in almost three-and-a-half years, reflecting not only a further easing of manufacturing production growth, but also a slowdown in the previously steadfast service sector.

"Growth in the manufacturing sector has been slowing for some time now, so it isn't surprising to see that weakness spilling over into services given the interconnectivity between the two.

"Notably, manufacturing order books fell into contraction at the start of the final quarter following almost four years of uninterrupted growth. The survey's anecdotal evidence highlighted the car industry as an area of weakness, while also indicating a further pullback in orders from abroad.

"There was also a squeeze on demand from higher selling prices during the month, with the increase in service sector charges the steepest seen in over two decades of data collection.

"German businesses have lowered their expectations for activity in line with slower growth and a worsening global backdrop, with manufacturers in particular concerned about the outlook for output over the next 12 months."

Full release here.