Yen wins following overnight sell-off

Morning Report: 08.45 London

• Last night US stock markets experienced their worst sell off since November, though thankfully things are a little more cautious this morning.

 • The yen pairs are seeing the biggest movements this morning and big sell offs yesterday. The GBP/JPY is leading the pack after coming under pressure last night.

• Dollar pairs have a slight positive bias, with the marked exception of the AUD/USD. The NZD/USD by contrast is showing some strong momentum.

Coming up today:

• We’ve a busy day ahead today, starting with UK CPI, PPI and RPI at 09.30.

• From 10.00, we get European Industrial production.

• At 13.30 we switch to the US, with retail sales expected to dip on last month’s tally.

• Fed watchers should take note of speeches from FOMC members Plosser and Fisher at 17:45 and 18:20.

Trade Idea:

• The EUR/JPY is sitting just above support and could benefit from the general rebound in the yen pairs today.

A good way to play this could be a HIGHER trade predicting that the EUR/JPY closes above 142.00 at tomorrow’s close for a potential return of 151%.

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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