Dollar dominates on recovery hopes

Morning Report: 08.15 London

• This morning, the strong US dollar continues to dominate market movements, with the yen pairs being pushed higher across the board.

 • The USD/JPY is up 0.33%, with the GBP/JPY leading the pack, up 0.43%.

• The Canadian dollar is suffering after worse than expected trade balance data last night alongside weaker than expected Ivey PMI. The USD/CAD is up 0.40%.

 • Commodities are under pressure, with Silver off by around 1% and gold by 0.40%.

Coming up today:

• Coming up today we have the latest BOE credit conditions survey at 09.30.

• From 10.00, we switch to Europe with retail sales and the unemployment. German factory orders follow at 11.00.

• At 13.15 we get US ADP Non Farm Employment Change.

• The day’s big ticket is the release of the minutes from the last FOMC meeting at 19.00.

Trade Idea:

• The USD/CAD has been on the rise for the last few months and January’s rise already looks excessive. As such , we might expected some sort of pull back.

A LOWER trade predicting that the USD/CAD will close below 1.0775 on the 31st of Jan could return 127%.

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.

Summary: