 Welcome to Tick Mill Weekly Market Outlook for week commencing August 26th with me, Patrick Munley. Among the main economic readings in the US for the week ahead, Monday's durable goods release will be watched for signs of continuation in the week investment trends. Monday and Tuesday's Fed Manufacturing Surveys will likely remain pressured by tariffs and the ongoing dollar strength. Thursday sees second quarter GDP second estimate likely in line with the 2% target with little chance of material revisions. We wrap the week up on Friday with personal income, personal spending and core PCE inflation. Wage growth likely remains modest, spending growth should be robust but likely to slow and PCE most probably in line with expectations. Markets will also hire selection of Fed speakers on deck next week for further clues as to the Fed's next move at its September meeting. Now to the charts, from a technical perspective the dollar index has continued to consolidate above the 98th level. As we hold above the 98th level there is the potential that we challenge and test the prior highs up towards 98-92. However with momentum divergence developing I will be watching for reversal patterns in and around any test of these prior highs for an opportunity to set short positions. An early failure below 97-95 would suggest that we are likely to retest the 97 handle. Any pullbacks at that stage to test 98 from below I would be watching for reversal patterns to set short positions to ultimately target a test of the 96-50 level. Whilst we are talking about the dollar let's take a quick look at gold. Gold has continued to consolidate at highs and in a similar fashion to the triangle we saw develop in early July we seem to be replicating that price action currently. If that is the case we can expect a thrust hire to retest the prior highs at the 1534 level and then up to test trend line resistance in extension at the 1570-1575 handle. However a failure below the 1480 support will likely encourage a test of the prior highs at 1450. Once again I will be watching for the potential for reversal patterns to develop here and I will be looking to set longs to challenge the 1530 prior highs and then again up to the 1575 handle in extension. In Canada the only data note is Friday's second quarter GDP release with net exports likely boosting growth prospects. From a technical perspective the Canadian dollar has continued to consolidate just below the 13340 level. As this area contains we likely test trend line support back down to 13250. If by a step in here I'd be anticipating that we take out the 13340 level and actually have the potential then to trade higher and test up towards the descending trend line resistance at the 135 level. However a failure below the 3250 will likely see a retest of the prior base back down to 3150. In the Eurozone August economic and business confidence readings are due Thursday. Markets will watch for further softening after July's sub-zero reading for the business climate. Friday we'll see the release of Eurozone employment data and core inflation data which will likely remain sticky around the 1% level. From a technical perspective as anticipated from last week the dollar has grinded lower and we've tested into the 11050, 11030 support area. At the present the Euro is looking to try and reverse here. I could only really get constructive again on the Euro if we get a close above the 11115 handle. If we do then I'll be looking for a test of descending trend line resistance at the 11170 to 11180 handle. However a failure below 11050 likely sees us take out the 11030 year-to-date lows and test the much awaited 10950 major descending wedge trend line support area. Where once again I'll be watching from a mental divergence to develop and then looking for price confirmation with bullish reversal patterns to set long positions. Whilst we're talking about the Eurozone let's check in with the DAX. As discussed last week we've seen a recovery up to back towards the 11900 handle. I'd be anticipating we may see some resistance here and a pullback to test back towards the 11450, 11500 setting a potential inverse head and shoulders pattern which would set the base then for the next leg of recovery up towards the 12000 level. Where once again I'd be anticipating there would be potential for sellers to step in watching for bearish reversal patterns. But I'd look to set short positions targeting a retest back down of the prior lows at 11280. In the UK data is limited to Wednesday's nationwide house price index with Brexit uncertainties likely to continue to weigh. Friday sees GFK consumer confidence and mortgage lending readings which will likely remain soggy also driven by political uncertainties. From a technical perspective as anticipated last week Sterling is attempting a recovery. I'd look for this recovery to stall out at the 12350 to 124 area where again I'd be watching for bearish reversal patterns to develop. And I'd be looking set short to target a retest of the current lows at the 120 handle and down to the 11914 handle which is an equidistant swing target from this A point, this B point and this C point. If we see this test down here again I'll be watching from a momentum divergence where it could be possible to be picking up some cheap pounds and play for a bigger correction up back towards the 124 handle yet again. Data in Asia next week is pretty scant. Japan's key release is industrial production data delivered Friday which is expected to remain under pressure driven by the weak global manufacturing backdrop. The dollar again has spent most of the week in a consolidation pattern. Whilst we hold the 10570 as support there's the potential to move up to test 10750 as an ABCD corrective pattern. However a failure below 10550 would be a bearish development opening an early test of the 10470 flash crash lows that we saw at the beginning of the year. Down under in Australia data is confined to Thursday's Q2 private CAPEX readings with equipment spend expected to remain soft. Friday we'll see housing data with dwelling approvals expected to stabilize driven by approvals in house prices. From a technical perspective the Australian dollar has also spent much of the week consolidating as we come as we are trading in these end of summer quiet markets. However whilst we hold this 6730 area there's the potential that we complete a three wave corrective pattern testing up towards the 69 level reference in last week's review. This area will be interesting if we see sellers step in here we get some bearish reversal patterns I'd be looking to set short positions targeting a retest of the 6670 level. However if sellers don't step in at the 69 then we have another area of interest at the descending trend line resistance at the just shy of the 70 cents level where once again I'd be watching the price action for bearish reversal patterns to set short positions. In the interim a close above the 68 handle can be deemed bullish and that would be an opportunity to set along to target this move up to the 69 handle. And that concludes the weekly market outlook for we commencing August the 26th.