The week ahead
Today is Labor Day in the US, so whilst some markets remain open, volumes are expected to be proportionally lighter. Markets are mainly being driven by political events, rather than economic ones, and we’d expect that to remain unchanged. Equity markets are looking a little lost this morning, and a lack of impetus brings threats to the downside. The S&P 500 (#SP500) is still underpinning US equities, but to us the Dow (#DOW30) looks more likely to test moderate support in the 25,600 area. There are some assorted economic data releases this week, of which Friday’s US Non-Farm payroll figure (15:30 platform time) will be the highlight. Old hands will be expecting the usual confused overreaction/correction and position/protect themselves accordingly. Over in Bitcoin (BTCUSD) the cryptocurrency has started the week a little more positively, opening $200 higher from Fridat at $7274 but we do not see any significant change to the bearish trend unless it can close above $8350.