The new week starts with a positive mood for Europe

The Year of the Pig ... or at least the Moon calendar began. Chinese New Year arrives as half Asian markets will be on holiday until the end of the week. But this does not apply to Europe and the United States, who, despite sharing sympathy for their colleagues around the holiday, share their concerns as investors and traders, and business continues.

At the start of the new day and week, we expect a cautious but positive start for Europe, with indices indicating a slightly higher opening from its previous levels. Negotiations between the US and China and the good Caixin PMI in services from China over the weekend will boost mood as investors seem ready to take new risks. Given the new pace the Fed is taking, the indices continue to grow and the US dollar weakens. Since the start of the Asian session, however, the US dollar is gaining momentum today. Because of the Chinese New Year, we expect gold to fall cheaper.

Today investors will also have the opportunity to trade safely because the economic calendar lacks events and news. More importantly: PMI in the UK construction sector and PPI for the Eurozone and Factory orders for the US. This week there will be no debates and meetings in the British Parliament about Brexit. Theresa May is still working on her plan with her colleagues and will seek Brussels support. 53 days left to Brexit. Meanwhile, any rumors or events along the US-China trade talks will have a corresponding impact on stock markets and FX.

Successful trade!

Indicative levels of opening of major European indices:

DAX: +2 points

FTSE: +3 points

CAC: +3 points

Photo: Pixabay

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