Today the focus is on the vandalizing of an iPhone factory, Tesla’s new milestone, and the ECB’s plan for zone stimulus.
Calendar
10:00 UTC
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
News
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
Technical Analysis
EUR/AUD
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.
NZD/JPY
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.
Brent
After testing a new resistance level, prices reflected towards the upward support level, prices will likely push the upper boundary again soon.