Dollar dips following jobs drop

Morning Report: 08.15 London

• This morning, we’re seeing some strong pressure on the US dollar following Friday’s US jobs numbers which showed one of the slowest increases for three years. Asian markets appeared to shrug off the news, but the dollar index is really feeling the pressure.

 • This dollar pressure is translating into big losses on the yen pairs, with the USD/JPY off by 0.70%. The EUR/JPY and GBP/JPY are both off by 0.66%.

• The dollar pairs are generally quiet themselves, though the AUD/USD is out performing, with the Aussie up 0.41%.

• We have a relatively light day on the economic data front, with Canadian BOC business outlook survey at 15.30 and Federal Budget Balance at 19.0 the only real highlights.

Trade Idea:

• The Australian dollar is out performing this morning, but it could be the NZD/USD that sees the more sustained movements higher – Provided it can break through over head support.

A good way to play this could be a HIGHER trade predicting that the NZD/USD closes above 0.8350 in 7 days time for a potential return of 118%.

This Daily Market Report is written by Dave Evans, Professional Trader. This is presented as an idea to stimulate binary option trading ideas and is not a financial advice.

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