Source: PaxForex Premium Analytics Portal, Fundamental Insight

The Spanish Markit Manufacturing PMI for October is predicted at 51.0. Forex traders can compare this to the Spanish Markit Manufacturing PMI for September, reported at 50.8. The Italian Markit/ADACI Manufacturing PMI for October is predicted at 53.5. Forex traders can compare this to the Italian Markit/ADACI Manufacturing PMI for September, reported at 53.2. The Final French Markit Manufacturing PMI for October is predicted at 51.0. Forex traders can compare this to the French Markit Manufacturing PMI for September, reported at 51.2.

The Final German Markit/BME Manufacturing PMI for October is predicted at 58.0. Forex traders can compare this to the German Markit/BME Manufacturing PMI for September, reported at 56.4. The Final Eurozone Markit Manufacturing PMI for October is predicted at 54.4. Forex traders can compare this to the Eurozone Markit Manufacturing PMI for September, reported at 53.7. The UK Markit/CIPS Manufacturing PMI for October is predicted at 53.3. Forex traders can compare this to the UK Markit/CIPS Manufacturing PMI for September, reported at 53.3.

The forecast for the EUR/GBP remains bearish after moving below its sideways trending Ichimoku Kinko Hyo Cloud. New Covid-19 infections across Europe are rising, and France, Germany, and the UK announced fresh nationwide lockdown measures. Today’s PMI data should be viewed with caution, as November could see more economic pain. The Tenkan-sen and Kijun-sen are descending, but the CCI entered extreme oversold territory. A short-term burst is expected to result in a lower high before retreating. Will bears continue to drive price action towards its next horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.

Should price action for the EUR/GBP remain inside the or breakdown below the 0.8990 to 0.9025 zone, the following trade set-up is recommended:

• Timeframe: D1
• Recommendation: Short Position
• Entry Level: Short Position @ 0.9015
• Take Profit Zone: 0.8865 – 0.8910
• Stop Loss Level: 0.9060

Should price action for the EUR/GBP breakout above 0.9025, the following trade set-up is recommended:

• Timeframe: D1
• Recommendation: Long Position
• Entry Level: Long Position @ 0.9060
• Take Profit Zone: 0.9145 – 0.9180
• Stop Loss Level: 0.9025

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