Today the focus is on the vandalizing of an iPhone factory, Tesla’s new milestone, and the ECB’s plan for zone stimulus.
The German Zentrum für Europäische Wirtschaftsforschung (ZEW) Economic Sentiment Index will be released. Forecast at 60.0. A higher than forecast reading could give the EUR a positive push.
Assets to trade: EUR/USD, EUR/AUD, EUR/NZD
The European Central Bank’s new stimulus package is expected to have little effect on the euro zone’s coronavirus-ravaged economy. Affects EUR
On Monday, the Bundesbank said the German economy is managing to stay afloat but could suffer a “sizeable setback” if coronavirus curbs are extended again. Affects EUR
Tesla has reportedly started delivering Shanghai produced Model Y crossovers in China, marking another milestone for the electric carmaker. Affects Tesla
An iPhone factory in India run by a Taiwanese manufacturer was vandalized over the weekend after workers claimed they were not being paid their wages, prompting an Apple investigation. Affects Apple
U.S. President-elect Joe Biden is planning to cancel the permit for the $9 billion Keystone XL pipeline project as one of his first acts in office. Affects Brent
COVID-19 has hit the Euro-zone hard, as Germany’s slowed economic growth has shown. Fears mount among economists that the ECB’s stimulus package may not be enough to help the economy recover.
The pair’s 1-day chart shows a Three Outside Up reversal signal, though the may struggle to break through the downward resistance level.
This pair has created a new resistance level around 75.6 but has fallen below the previous resistance turned support level around 74, indicating the potential for a drop large drop.
After testing a new resistance level, prices reflected towards the upward support level, prices will likely push the upper boundary again soon.