Pound Gains for the Second Straight Trading Day
The dollar is mixed to higher in the latest round of trading. It is true that the American currency has made some big losses versus the euro and the pound. The thing is that the U.S. dollar is still favored by a lot of traders. The increased confidence comes after there was a rally on Wall Street during yesterday’s trading session. The greenback may continue rising later on.
There is a lot of strength for the European single currency at the moment. Traders favor the EUR due to the very high returns which it offers to traders. It has ended up making some very impressive inroads into the greenback. It has also held its ground versus its other most traded peers this Tuesday morning. With more and more positive economic data coming out of the region, it is no wonder traders prefer the EUR.
The British pound is trading higher versus its peers for a second straight trading day. This comes as investors simply have so much confidence in the British currency. Moreover, it was somewhat undervalued during the previous trading week. Therefore, the gains which we are seeing as of now are good to see. The GBP/USD forex pair is trading higher this morning by 0.19 percent at $1.6685. It looks like the pound sterling will continue to gain in the hours ahead.
It is true that there was a lot of weakness for the Dow Jones and other indexes last Friday. The good news is that there was a bullish comeback during yesterday’s trading session. This is because the U.S. published much positive economic data. Moreover, investors realized just how undervalued American stocks were.
The Dow Jones Industrial Average gained 0.64 percent to the 16,207.14 level. The Nasdaq Composite Index surged 0.69 percent to 4,292.97.
Bank of America Corp. advanced 1.47 percent to $16.53. Facebook Inc. climbed 3.19 percent to $$70.78.
Traders are hoping that there will be another rally on Wall Street once the U.S. session gets going. Therefore, try and get in on the action.
Crude oil futures are trading lower by a whopping 90 cents today. This is after they made some very impressive gains as of late. It seems that traders have decided to unwind their long positions in the commodity. Moreover, investors have put their money in alternative assets which they believe will bring them much higher returns during today’s trading season. Also, this comes before a U.S. government report that is expected to show that crude oil stockpiles expanded amid concern that Chinese consumption may decline in the near future.
The gold binary option is trading lower this morning by $5.30 at the $1,332.70 price level. The fact is that traders are not in the mood to buy into metals. This comes after gold and other precious metals were able to make impressive gains in previous trading sessions. Therefore, the losses we are seeing in the latest round of trading are no surprise. Look to go short on gold in the hours ahead.
It seems that our prediction yesterday was right when we said “A bullish comeback may be in the cards during the U.S. session today.” The fact is that there is a lot of volatility in the financial markets at the moment. This makes it hard to predict which way the Dow Joes will go. However, if you are someone who trades regularly, it will be easier to predict the market direction.