Binary Options Daily Analysis: Dollar Makes a Bullish Comeback Today!
The USD made very big losses during Wednesday’s trading session as forex traders decided to sell haven currencies and buy into riskier currencies. The trend seems to have reversed today with traders preferring to put their money into risky currencies. The GBP/USD pair has fallen today by 0.62% to $1.6155. The USD/CHF has gained 0.52% to 0.9228 Swiss francs. There is a lot driving the markets today, so traders really need to stay focused if they want to make high returns before the end of the trading week. It may pay off to open Put options in the GBP/USD.
The euro has tumbled on all fronts today. The EUR/USD pair is lower by 0.67% at $1.3098. The EUR/GBP has slumped 0.04% to 81.08 pence. Traders did have a lot more confidence in the EUR yesterday. The strength of the euro seems to have waned, as traders are starting to become cautious following the budget deal in the U.S. There needs to be some more positive economic news in order to give traders the boost to buy into the euro in the next few hours of trading.
The USD/JPY pair is lower today by 0.49% at 81.91 yen. The yen has also made impressive gains versus the euro, pound and Aussie. The trend we are seeing at the moment is traders selling riskier currencies in favor of safe-haven ones. The JPY is well-known to be a haven, and that is why traders have decided to go bullish on the yen today. Do not be surprised if the USD/JPY pair climbs further this Thursday afternoon.
There was a lot of bullishness when it came to Asian stocks earlier this morning. This was largely due to the expansion in Chinese services industries and U.S. manufacturing.
The MSCI Asia pacific Index soared 0.4% to 478.16. Hong Kong’s Hang Seng Index added 0.4%. Australia’s S&P/ASX 200 climbed 0.7%. New Zealand’s NZX 50 surged 0.4%.
South Korea’s Kospi Index fell 0.6%. Singapore’s Straits Times index gained 0.7%. Taiwan’s Taiex Index jumped 0.7%.
There were big gains seen in Asian equities. This came after there was a surge in U.S. stocks on Wall Street yesterday.
Traders had the confidence to also buy into Asian equities, as there was a lot of bullishness in the financial markets in the past few days.
Crude oil futures have plummeted today by 40 cents to $92.72. Traders just have not had the confidence this afternoon, as there are so many factors working against crude oil.
For example, the main one is the much stronger dollar. In previous trading days, the USD was quite bearish. However, the U.S. currency has made a bullish comeback today.
Therefore, traders have seized the chance to sell crude oil futures today. It should be remembered that crude oil has capped a rally over the past few trading weeks. Leading analysts are still unsure whether the latest losses for crude are temporary or the crude oil binary option will continue its dive into the abyss.
Make sure you follow the release of the crude oil inventories tomorrow if you intend on opening positions in crude oil.
The EUR/USD currency pair has been a favorite amongst binary options traders lately. They have been able to make very high returns in a short period of time. However, with the pair falling, many traders have lost out in opening Put options. This means you should open your Call options when the time is right today if you intend on trading the EUR/USD pair.