Headlines the Economic Calendar on Tuesday
UK Construction PMI: The data measures the activity level of purchasing managers in the construction industry. The Construction PMI is forecast to rise to 46.6 in January from 44.4. A higher than expected reading should be taken as positive for the Sterling.
Eurozone Producer Price Index: Watch out for the Eurozone Producer Price Index. The Producer Price Index (PPI) measures the change in the price of goods sold by manufacturers. On the year-on-year basis, the Eurozone PPI is expected to fall -0.7% in December.
US Factory Orders: The Factory Orders are expected to be a 1.2% rise in orders for December compared with a -0.7% fall the month before. A higher than expected reading should be taken as positive for the US dollar.
Technical Analysis:
Gold: The Gold Price showed a downward movement in the Asian Trade Session and dropped below the major resistance level of 1575. As long as the yellow metal price stays below 1575, on a daily basis, the fall may gain more momentum and we will see 1564 as a daily support level. On the other hand, if the price goes beyond 1575, the next resistance level will be found at 1584.
Support: 1564 - 1555 - 1540
Resistance: 1575 - 1584 - 1590
EUR/USD: The EUR/USD pair is currently trading above the 1.1052 daily support level. As long as the price stays above 1.1052 on a daily basis, the resistance level can be found at 1.1114. On the other hand, if the price moves down 1.1052, we will see 1.1007 as the next support level
Support : 1.1052 - 1.1007 - 1.0965
Resistance : 1.1114 - 1.1165 - 1.1237
USD/JPY: The USD/JPY pair moved up above the 108.79 main level. If the price stays above 108.79 on a four hourly basis, we will see 109.09 as the daily resistance level. Otherwise, if the price drops below 108.79 again, we will follow the next support level at 108.52 again.
Support : 108.79 - 108.52 -108.14
Resistance: 109.09 - 109.39 - 109.72
USD/CAD: The USD/CAD pair showed an upward movement yesterday. Now the price is trading above the major support level of 1.3287. As long as the pair stays above 1.3287 on a daily basis, the rise may continue and we will follow 1.3344 as a resistance level. On the other hand, if the price drops below 1.3287, we will see the next support level at 1.3233.
Support: 1.3287 - 1.3233 - 1.3181
Resistance: 1.3344 - 1.3410 - 1.3466
EUR/GBP: The euro surged versus the Sterling yesterday. The EUR/GBP pair is currently trading above the 0.8488 daily support level. In the event that the rise continues above 0.8488, we will follow the major resistance level at 0.8535 and 0.8584. On the other hand, if the price drops below 0.8488, the main support level will be at 0.8433.
Support : 0.8488 - 0.8433 - 0.8373
Resistance : 0.8535 - 0.8584 - 0.8626
DOW30 FUTURES INDEX: The Dow Jones 30futures index showed an upward movement in the Asian Trading Session. If the rise continues above 28554, the resistance levels can be found at 28652 and 28778. In contrast, if the price falls below 28554, we will see the 28447 support level.
Support: 28554 - 28447 - 28250
Resistance: 28652 - 28778 - 28973
GBP/USD: The GBP/USD pair showed a downward movement and dropped to the 1.2947 main support level. As long as the price stays above 1.2947 on a four hourly basis, the fall may pause and the daily resistance level will be at 1.3046. On the downside, if the pair breaks down below 1.2947, the next support level can be seen at 1.2838.
Support: 1.2947 - 1.2838 - 1.2768
Resistance: 1.3046 - 1.3136 - 1.3231