Traders Wait On Fed and Russia

Morning Report: 08:45 London

• This morning, financial markets have a slight positive edge as is often the case on the morning of a Fed day. At the very least, the market’s resilience in the face of the Crimea situation is impressive even as the first shots were fired overnight.

• Silver and gold continued to tail off as fears ease in the peninsula.
                     
                                         

• Elsewhere, the yen pairs are on the move, helped by a strong GBP/JPY ahead of today’s UK budget.

                             
Coming up today:

• We’ve an extremely busy day ahead today, starting with the release of the voting patterns from the last MPC meeting and the latest UK employment figures. These are released at 09.30, with the budget at 12.30 – It will not be quiet for the pound today.
• From 12.30, we get the latest US current account data, followed by crude oil inventories at 14.30.
• Then at 18.00, we get the day’s big ticket – the latest FOMC statement and economic projections, followed by the FOMC press conference at 18.30.

Trade Idea:

• With such a big day ahead for both the pound and US dollar, it makes sense to focus on the GBP/USD.

                                 

• The pair has been stuck in a tight range since the middle of Feb and today could see a breakout from that range.

A good way to play this is a In/Out trade predicting that the GBP/USD will go outside of either 1.6775 or 1.6425 in the next 2 days for a potential return of 116%. 

This is presented as an idea to stimulate fixed odds financial betting ideas and is not financial advice. 

Summary: