We are seeing a lot of weakness for the U.S. dollar this morning. It has ended up sliding versus the pound, Aussie and loonie. Traders are in the mood to go short on the greenback today after the weakness we saw during yesterday’s trading session. Investors also feel that it is the right time for them to go short on the greenback. This is because there is much risk taking in the financial markets. It seems that even though there was a slump in stocks and indices in the U.S. yesterday, this turned out to lend counter currencies a helping hand.
The European single currency is one of the most bullish currencies at the moment. It is trading 0.1 percent higher versus the dollar, as traders are in the mood to take big risks. There is simply a lot of risk taking in the currency market. This has turned out to help risky currencies such as the EUR. Investors seem to be in the mood to take some big risks. Therefore, now is the time to go long on the EUR/USD pair.
The Aussie was one of the best performers in the forex market during the early part of the previous trading week. The thing is that it has since plummeted. The reality is that there is a lot backing the AUD as of now. For example, the nation’s economy is very strong at the moment. This is even though some economic data from China has turned out to be negative. As a result, look to go long on the Aussie this morning.
There ended up being a big slump for American stocks during yesterday’s trading session. One factor that seems to be overlooked is that the equities in Asia got hit hard many hours earlier. Therefore, there ended up being a knock on effect. Investors seem to think that many global stocks are overvalued, which has led to a certain degree of action. However, things may change once U.S. trading gets going later today.
The Dow Jones Industrial Average dipped on Wednesday by 0.08 percent to the 16,501.65 level. The S&P 500 made losses of 0.22 percent to 1,875.39.
Traders may want to open Call options in the Dow Jones once U.S. trading gets going.
The crude oil binary option is trading much higher this Thursday morning by 21 cents at the $101.66 level. Traders are of the view that it is worth it for them to go long on the commodity after it slipped notably in the past week of trading. With crude being oversold, it seems that the only direction for the commodity to go is higher. Another factor which may lend crude a helping hand in the hours ahead is that the USD is very bearish.
Gold is another commodity trading higher this morning. It seems that investors favor buying into both energies and metals during Thursday morning trading. It is unusually how things can work out in the financial markets. Gold is higher by about $2, and it is another commodity which seems to be benefiting on the much weaker dollar. With this in mind, look to go long on the gold binary option today.
A very volatile currency pair at the moment is the GBP/USD. It was lower for much of yesterday, but traders have now decided that it is worth it for them to take risks with the pair. This is why it is trading notably higher as of now. More gains are like as the trading day drags on.