FX.co ★ Fundamental Analysis For January 29, 2013

Durable goods orders rose far more than expected, leading shares on the Stock Exchange of New York gave a few points after Monday's session. Pending home sales were decisive for this slight decline, falling 4.3% in December.

However, the Dow Jones is located about 300 points of its record high at 14,164 points, while the S&P500, which surpassed on Friday the 1500 mark for the first time since the entry into U.S. recession in December 2007, remained precisely in that dimension at Monday's close.
So do things go well for the American companies? Relatively. Do not forget that rates are quite flexible in its composition, and that companies giving signs of great weakness are immediately deleted.

But in any case, it is evident that business climate is favorable in these days. The euro is a reflection of this situation. Earlier on Tuesday, the euro gave some signs of weakness in its upward movement, although it has not yet lost the 1.34 area. In the 4 hours chart, it seems to form a continuing uptrend.
The British pound does not show the same behavior. Its weakness is important, and the medium-term charts (weekly) leave no doubt that the British currency will be lower. The double top figure shows that the intersection of the same with the dollar could fall to 1.53 area. Anyway, at this time the pound is very slowly recovering positions, and will find its next short-term resistance at 1.5760, trendline, which break could extend gains to 1.5810, which left a gap in the Asian session on Monday.

The market movements during Tuesday will be very moderate and cautious. As concerns FOMC meeting, it is expected Federal Reserve Chairman Ben Bernanke’s latest round of bond buying will reach $1.14 trillion before he ends the program in the Q1 of 2014.
The day's news agenda highlights the consumer confidence index, at 10:00 Eastern. The same could observe a low (hence also taken several operators to sell assets on the eve), and carry the dollar in the short term.