This week’s financial spread betting update is now available and can be read by clicking here.
In what is historically a fairly bullish week in the build up to the US Thanksgiving Holiday on Thursday, the markets have very much got off on the wrong foot and at the time of writing are sharply lower. In this week’s update we wrote that trading off seasonal tendencies alone is not a sufficient reason to take or not take trades, and although things can soon change in the current market climate, that view is being borne out this morning.
As ever, the inverse relationship between stocks and the dollar continues, with the dollar rising as stocks fall. The other safe haven currency is the Yen and that is also rising this morning. For now the Swiss Franc’s status as a safe haven is off the table following the SNB’s intervention several weeks back. In addition, a rising dollar is negative for commodities as commodities are priced in dollars, so dollar strength is sending commodities such as Gold and Crude lower this morning. There is therefore a lot of red on the trading screens this morning!
The long-term trends remain in place, and are down for stocks and commodities, and up for the dollar and interest rate futures.
This week’s financial spread betting update begins with:
The week ahead will be a shortened trading week due to the US Thanksgiving Holiday on Thursday. US markets are closed on Thursday and Friday is a shortened trading Day.
Last week we wrote that many markets were in trading ranges are were approaching support/resistance levels and that there could be several breakouts, and we saw that this past week and the same still applies for the week ahead as more key levels look set to be tested…….…continue reading by clicking here