When is the US ISM Non-Manufacturing PMI and how could it affect EUR/USD?

US ISM Non-Manufacturing PMI Overview

The Institute of Supply Management (ISM) will release the Non-Manufacturing Purchasing Managers' Index (PMI), also known as the ISM Services PMI at 1400 GMT this Thursday. The consensus forecast for August stands at 56.8, up from 55.7 in July, and a surprise jump back closer to 60 mark would be welcome news for the USD bulls. 

Deviation impact on EUR/USD

Readers can find FX Street's proprietary deviation impact map of the event below. As observed, the reaction in case of a relative deviation of +0.90 or -0.69 is likely to be in the range of 22-29 pips in the first 15-minutes and could stretch to around 68-103 pips in the subsequent 4-hours. In the last five releases, the pair moved, on an average, 13-pips in the first 15-minutes after the data release and 38-pips in the following 4-hours. 
How could it affect EUR/USD?

Yohay Elam, FXStreet's own Analyst explains, “1.1630 held the pair down in early September. The line also had a role beforehand. 1.1695 was a peak in late August. 1.1735 was a swing high in mid-August and it is followed by the quadruple top of 1.1750 from July.”

“1.1585 was a pivotal line in the range. 1.1530 is a double-bottom from late August and early September and is the most significant support level. 1.1495 was a swing low in mid-August,” he adds further.

Key Notes

   •  ADP NFP + ISM Non-Manufacturing Preview: Data are indicative not only for the NFP

   •  EUR/USD Technical Analysis: Decline halted around the 21-day SMA near 1.1540

   •  EUR/USD scope for a squeeze higher – UOB

About the US ISM non-manufacturing PMI

The ISM Non-Manufacturing Index released by the Institute for Supply Management (ISM) shows business conditions in the US non-manufacturing sector. It is worth noting that services constitute the largest sector of the US economy and result above 50 should be seen as supportive for the USD.