U.S. Stocks Surge for the Second Straight Trading Day
The greenback is mostly lower today, as traders prefer putting their funds into alternative assets. This has been the mentality of traders since the beginning of today’s trading session. Therefore, you will need to be cautious while trading the forex market today. The dollar has managed to climb versus the euro and the pound. On the other hand, the dollar has tumbled the Aussie and the loonie. Look to open put options in the USD/CAD pair today
The European single currency touched the lowest level in 11 months before the European Central Bank will announce its decision with regards to interest rates in the region. The EUR/USD pair is trading lower this morning by 0.18 percent at the $1.3511 level. The euro has also lost a lot of ground versus the British currency, so be very cautious. The EUR/GBP may go lower, so open Put options this morning.
The good news is that the Australian dollar has been able to make inroads against the U.S. dollar. The AUD/USD currency pair is higher by 0.56 percent at 89.60 U.S. cents. Traders just feel that it is worth it for them at the moment to go long on the pair due to the high returns which can be made. This has come as Australian exports have by far exceeded imports. More news like this will further boost the AUD.s
Stocks in the U.K. were able to surge for the second straight trading day prior to the decision by the European Central bank and Bank of England with regards to interest rates. There has been a return of confidence into the market since the beginning of Tuesday’s trading session, as investors realized just how undervalued stocks and indices really were.
The case with regards to U.S. equities was not the case. In fact, they took a big hit during yesterday’s trading session, as investors were simply not in the mood to take big risks.
The Dow Jones and the S&P 500 Index ended up making big losses.
The crude oil binary option is trading higher today by $1, as traders are in the mood of going long on the black gold. The commodity has climbed for a third straight trading session. Investors are of the view that it is worth it for them to take risks when it comes to the black gold due to the high returns which can be made. The fact is that there is a lot more risk taking when it comes to the financial markets yesterday. This is in contrast to what we saw during yesterday’s trading session. Call options are the way to go for crude oil.
It is great to see that traders have so much confidence when speaking of the leading commodities at the moment. They just feel that it is worth it for them to take some big risks. This has been their mentality in recent hours. Gold futures are higher this morning by $6, and there is a feeling among analysts that gold may be able to build on its current gains.
When speaking of leading indices the S&P 500 comes to mind. The problem is that the leading American index ended up making some very big losses yesterday. Investors just did not feel that it was worth it for them to take big risks yesterday. This is why we saw prices go so much lower. However, Call options are the way to go with a bullish comeback very possible later.