U.S. Stocks Edge Higher on Monday
One of the most volatile currencies as of late has been the U.S. dollar. The greenback is mostly higher in the latest round of trading. It has been going lower for about two days. The AUD/USD forex pair is trading higher as of now by 0.28 percent at the 88.27 U.S. cents level. Traders have been in the mood to go short on the greenback due to the forecast that rates will be kept low for a prolonged period. This is even though it is expected that bond buying will be halted. Therefore, traders should look to go short on the American dollar.
It is great to see that traders have going long on the European single currency in the latest round of trading. This was after many days which showed a lot of instability in the EUR. In fact, the euro has surged versus the majority of its peers in the past few hours of trading. The bank stress tests was not as bad as forecasted, which may end up boosting the euro even more in the latter hours of trading.
Traders have taken it upon themselves to go short on the yen in the past few trading sessions. Investors feel that the yen is still overvalued, so going short n the JPY at the moment is where the action is at. The USD/JPY forex binary option has jumped in the most recent trading by 0.03 percent to 107.84 yen. Investors should look to open daily Call options in the USD/JPY pair once they get a free chance today.
We did see U.S. stocks edge higher during Monday’s trading session. The thing which prevented stocks from going even higher was the fall in oil prices.
The good news from American stocks is that they capped the biggest rally last week since January 2013.
The S&P 500 Index added 4.1 percent last week, as traders have so much confidence with regards to the American economy.
The Dow Jones Industrial Average made gains of 0.07 percent to the 16,817.94. There were also important gains for other top America indexes.
There will be a lot of important data published from the news wires in the hours ahead, meaning you will need to follow events very closely to make maximum returns from the financial markets.
The crude oil binary option is trading lower this morning by 14 cents at the $80.87 level. Traders are of the view that it is better for them to go short on the commodity this morning as they are waiting for data to be released from the news wires. In fact, the commodity has tumbled for the fourth straight trading day. This is as U.S. supply is seen as rising, so going short is where to go.
The gold binary option did end up making some losses yesterday, as there was a lack of positive sentiment when it came to commodities. The gold binary option is trading a touch higher by 30 cents this morning. With there being very minor gains this morning, this comes as there is the forecast that the commodity will go even higher in the medium-long term. Call options this Tuesday may turn out to payoff for the commodity.
For those of you who have been following the financial markets very closely will understand that the Dow Joes is going a lot higher. This comes as the U.S. economy goes from strength to strength. With rates set to be kept low, going long on the Dow may continue to be fruitful.