+1 (866)-882-6854
+ 44 203-807-1675
Chat
17:26:17 GMT
Black & White

FED OPTIMISM PUSHES MARKETS HIGHER

GBP/USD 1.24430 17:20 22.02
EUR/USD 1.05615 17:20 22.02
OIL-APR17 (BRENT) 55.815 17:15 22.02
ALIBABA 104.870 17:15 22.02
AUD/USD 0.76832 17:15 22.02
AUD/JPY 87.185 17:15 22.02
SILVER 17.963 17:15 22.02
GOLD/EUR 1167.045 17:15 22.02
OIL-MAR17(WTI CRUDE) 53.980 17:15 22.02
GOLD 1232.476 17:15 22.02
EUR/JPY 119.846 17:15 22.02
USD/JPY 113.478 17:15 22.02
GBP/USD 1.24423 17:10 22.02
EUR/USD 1.05583 17:10 22.02
BitCoin/CNY 7487.500 17:00 22.02
USD/MXN 19.919 17:00 22.02
WELLS FARGO 58.325 17:00 22.02
USD/CHF 1.01100 17:00 22.02
OIL-APR17 (BRENT) 55.725 17:00 22.02
TOYOTA (US) 114.275 17:00 22.02
SONY 31.285 17:00 22.02
COLGATE-PALMOLIVE 73.035 17:00 22.02
FIAT CHRYSLER 11.35 17:00 22.02
X
We apologize for the inconvenience, registration from your state is disallowed.
By: Adam Stone
June 19th 2014 7:26am GMT, London UK
 
The markets made a significant move higher yesterday with US equities feeding off of the optimism of the Federal Reserve. The US central bank, headed by Chairwoman Yellen, exhibited a great deal more optimism about the US recovery than previously seen. In fact, such terms used to illustrate the status of the American economy have been left out of the Fed’s phrase book for years now. They went so far as to cut back the stimulus plowing into the financial system by another $10 billion per month which exhibits how confident the Fed really is about the market’s ability to generate impetus on its own. With recent worry over the state of affairs in the job market, it must be that analysts have been overly zealous to negatively scrutinize economic data which the Fed seems to perceive as far more positive than the media.

This turn in events led to a massive move by the S&P which was hovering all morning long until the announcements. While most would figure that a downtick in the amount of capital inflows would lead to a drop of the S&P, as has occurred in the past, this time around it was obviously seen as a pure and simple vote of confidence. The S&P closed the trading day up over 0.77% to yet another record high of 1956. Binary options traders will keep an eye on the index as it looks to break even past this amazing level. The current resistance level for the S&P index stands at 1960 which may seem rather arbitrary. After all, this level has never been reached. But it has significance from a psychological standpoint as well as a technical one. The fact is, with moves as big as those seen yesterday, we need a larger push today to create the needed momentum for follow through with binary options trades. If the market were to creep upwards only to head back down due to a lack of momentum, binary options traders would lose trade in a wholesale manner. The object of placing pivot points on the graph like the 1960 level is expressly for the reason of minimizng poor signals and maximizing those solid break higher to take on larger and more profitable trades.

SP with binary options 19-6-2014

Despite the pressures on Oil prices of late, due to the strife in Iraq which threatens the oil fields which amount to the 5th largest in the world, prices have held steady in the last 24 hours in or around the $106 levels. The fact that the USD has sped up and headed higher is the primary reason for this and as such, further spikes higher by Oil are probably going to be thwarted by the relative strength of the USD. But considering the massive move lower by the USD in the last 12 hours, it looks as though the price of oil is set to rise again. Don’t expect it to stop at 107 either. As the dollar weakened over this last period, the price of oil has gone up and will likely continue to do so. The news from yesterday about the US economy wasn’t as important to USD traders as it was to equity traders and as such, the USD is likely to take a beating.

Share Button
Adam Stone
Follow me

Adam Stone

As COO of GOptions, my first and foremost goal is to provide traders with the most up to date info from the markets. I have been trading the markets since 2004 and have been involved with stocks, binary options, and forex trading since then. I have had no formal market education and pride myself on a self taught approach to everything related to trading. I try to focus though on both the technical and fundamental aspects related to each trading day and bring forward the most important aspects of risk/reward in the market.
Adam Stone
Follow me

Latest posts by Adam Stone (see all)

Start Trading with the most professional mobile platform, always on the GO
Play StoreApp Store