Global macro overview for 30/12/2016:
The US Chicago PMI (a monthly measure of business conditions based on surveys of purchasing managers across Illinois, Indiana and Michigan) is scheduled for release at 02.45pm GMT today. Market participants are expecting a slight decrease from 57.6 points to 56.5 points. The Chicago PMI seems to have stabilized above the 50-level, indicating that there is growth in manufacturing. The data posted higher lows and higher highs in 2016. Moreover, if the previous relation between the PMI and industrial production growth helds steady, the year-over-year production growth is about to turn positive in early 2017.
Let's now take a look at the US dollar index technical picture on the daily time frame. The market has made something that looks like a triple top around the recent swing high at the level of 103.66, but it still trades above the important technical support at the level of 102.06. It is quite possible that this will be another higher low in the sequence and bulls will push the price higher after the correction in completed.
