News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/IRS9MaA7h8
  • The Federal Reserve rate decision is likely to sway the near-term outlook for the price of gold as the central bank appears to be on track to scale back monetary support. Get your weekly gold forecast from @DavidJSong here: https://www.dailyfx.com/forex/fundamental/forecast/weekly/CHF/2021/09/18/Gold-Price-Outlook-Hinges-on-Fed-Rate-Decision-Forward-Guidance.html https://t.co/dWWxtErjK0
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here: https://t.co/arxYmtQeUn https://t.co/4qxwiJsV1K
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/stMPuq0VXR
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/v6RGICQvge
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here: https://t.co/d8Re5anlG5 https://t.co/rws9LHJV3E
  • RT @FxWestwater: Japanese Yen Forecast: JPY Crosses Eye BoJ, CPI as Haven Flows Bolster Yen Strength Link: https://www.dailyfx.com/forex/fundamental/forecast/weekly/jpy/2021/09/18/Japanese-Yen-Forecast-JPY-Crosses-Eye-BoJ-CPI-as-Haven-Flows-Bolster-Yen-Strength.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Westwater&utm_campaign=twr https:/…
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/FVisZuTP6M
  • Stocks appear to be in a corrective phase but could get put to the test; levels and lines to watch in the days ahead. Get your weekly equities forecast from @PaulRobinsonFX here: https://t.co/H1BaTlIHjY https://t.co/zP3mjfslSD
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/Of1thU4zXw
European Market Reactions as London Opens Post "Brexit" Decision

European Market Reactions as London Opens Post "Brexit" Decision

Oded Shimoni, Junior Currency Analyst

Talking Points:

- Currencies slightly balance on London open as desks go online

- “Risk off” flows seen across the board as the FTSE 100, DAX 30 open lower by more than 7%

- More than half of the FTSE 100 stocks failed to open for trade initially

Volatility is extreme with the Brexit results. Learn good trading habits with the “Traits of Successful Traders” series

European desks opened to a new reality today as the UK voters cast their votes and decided to “Brexit” from the European Union. The final results showed the “Leave” camp prevailed by 51.9% to 48.1% margin.

The market has seen extreme moves, and indeed “risk off” is apparently the order of the day. The FTSE 100 and DAX 30 both opened lower by more than 7% before stabilizing slightly after. This marked the worst drop for the FTSE 100 since 2008, and more than half of the stocks on the index failed to open initially. UK bank stocks took a major hit with Lloyds showing a drop of -30% while RBS was down -34%.

Currencies stabilized somewhat in the aftermath of some extreme moves as the British Pound and the Euro are seeing a bounce higher versus the US Dollar at the time of writing (The GBP/USD set a low around 1.32, while the EUR/USD traded near the 1.09 handle).

Yen strength has halted somewhat as well, while the sentiment linked Australian Dollar bounced from around the 0.73 handle.

Volatility is expected to remain extremely elevated, which might suggest that trading this environment should be approached with caution (if at all)

FTSE 100 (CFD: UK100) 5-Minute Chart: June 24, 2016

DAX 30 (CFD: GER30) 5-Minute Chart: June 24, 2016

GBPUSD 5-Minute Chart: June 24, 2016

EURUSD 5-Minute Chart: June 24, 2016

USDJPY 5-Minute Chart: June 24, 2016

AUDUSD 5-Minute Chart: June 24, 2016

--- Written by Oded Shimoni, Junior Currency Analyst for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES