The dollar was much weaker for the early part of the previous trading week. The thing is that it was able to surge in the latter half of the trading week. Part of the boosting the greenback was owed to the rally in U.S. stocks. With traders so willing to take risks, this ended up boosting the. In Addition, it should be taken into account that the greenback was oversold. The dollar was weaker versus the sterling for much of the week, but made a bullish comeback on Friday. Traders expect to see more gains for the dollar in the week ahead.
The European currency lost ground as the trading week passed by. Traders realize that that the euro was overvalued, so they decided to unwind their long positions in the currency. The fact is that there are still a lot of problem with regards to the EUR. This is why you will want to be cautious while trading it in the coming trading days. It is true that the euro was strong during certain days last week, but the volatility shows what a risk the euro is right now. Look to go short on the euro once you get a chance on Monday.
The Aussie was one of the biggest gainers in the currency market during last week’s trading session. Investors felt that they should go long on the AUD due to the very strong economy. It has been one of the best performing currencies this year. It is expected that the AUD will extend gains this coming week after the ECB decided to cut interest rates. Therefore, open weekly Call options on Monday morning in the USD/USD pair.
U.S. stocks went higher for much of last week’s trading session. This was owed to a number of reasons. It seems like the decision by the ECB to slash interest rates into negative territory has really lent traders a helping hand. There are of the view that the decision will help the Eurozone economy grow much more quickly. This is really the boost that it needs at the moment, as there is a big debt crisis still.
In addition, there was very positive unemployment data published from the U.S. economy at the end of the previous trading week. Traders are hoping for ore gains once the trading weeks commences
The crude oil binary option went through a very volatile trading week. Trader actually decided to go bullish at the end of last week’s trading session. This was owed to positive data from the U.S. economy signaling that the black gold will increase at least in the short term. Therefore, investors took their chance to go bullish and make gains. The commodity is expected to continue surging.
The gold binary option looked to make promising gains during certain parts of last week. The thing is that the gains were cut back on Friday. The weakness was owed to the resurgent dollar. With gold being priced in dollars, it is often seen that when the greenback jumps, gold prices slump. Traders may actually go bullish at the start of this upcoming week.
The Dow Jones was one of the best performing global indexes on Friday. Traders had so much confidence, leading it to close at all-time higher. More of the same is expected in the coming few trading days, so make sure to follow the action as it is released from the news wires.