Global macro overview for 20/08/2015:
The UK retail sales data release for July is scheduled at 8:30 GMT and is forecasted to have risen 0.4% m/m; (4.4% y/y), a complete turnaround from last month unexpected drop of -0.2% m/m; (4.0% y/y). The GBP plunged last month after a negative reading, so this time the expected number is quite strong and a small rally might be present if the number is in line with expectations or even better. Moreover, a good number will add to the wage growth, which already is rising, and might confirm the BoE officials' expectation about inflation rate increase back over the zero line by the end of the year.
The technical picture is still showing a regular battle between supply and demand at the current market levels, so only a clear, solid breakout above the level of 1.5716 will be considered bullish.
