Good and bad news | 12 Januari 2021

EURUSD trading plan:

Three regional Fed Presidents - Richmond's Tom Barkin, Atlanta's Raphael Bostic and Dallas' Robert Kaplan - all hinted more or less clearly that the 'tapering' of bond purchases could begin toward the end of 2021. The Fed is currently pumping $120 billion a month into the economy through such asset purchases. This tone was helped by the prospect for additional U.S. fiscal stimulus after a Democratic sweep of Congress, with President-elect Joe Biden pledging Friday a new economic stimulus “in the trillions of dollars.” This is a negative signal for the euro. A bullish rally in the commodity market will have a positive impact on the value of the European currency. Investors are increasing their long positions in gold and oil.

Investment idea: range 1.2130 -1.2200.