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
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Mixed
GBP/USD
Bearish
USD/JPY
Mixed
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
  • EUR/USD IG Client Sentiment: Our data shows traders are now net-long EUR/USD for the first time since Apr 06, 2021 when EUR/USD traded near 1.19. A contrarian view of crowd sentiment points to EUR/USD weakness. https://www.dailyfx.com/sentiment https://t.co/UzcoNl7En4
  • Italy's market watchdog urges regulation for crypto assets
  • 💶 Industrial Production YoY (APR) Actual: 39.3% Expected: 37.4% Previous: 11.5% https://www.dailyfx.com/economic-calendar#2021-06-14
  • Heads Up:💶 Industrial Production YoY (APR) due at 09:00 GMT (15min) Expected: 37.4% Previous: 10.9% https://www.dailyfx.com/economic-calendar#2021-06-14
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here: https://t.co/yOEvLjKnct https://t.co/PHW0HYIT19
  • IG Client Sentiment Update: Our data shows the vast majority of traders in USD/CHF are long at 76.65%, while traders in France 40 are at opposite extremes with 82.93%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/wKiQPgendC
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.52% Silver: -0.66% Gold: -1.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/XGsafITVgw
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.11% 🇨🇦CAD: 0.01% 🇦🇺AUD: 0.01% 🇪🇺EUR: -0.06% 🇬🇧GBP: -0.11% 🇨🇭CHF: -0.21% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/I54SaMAkMP
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: 0.33% Germany 30: 0.29% FTSE 100: 0.25% US 500: 0.12% Wall Street: 0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/3wBqlCoBJ7
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9Flsqcxo9 https://t.co/XJYm8RPlgj
Currency Volatility: GBPUSD, EURUSD Outlook Ahead of ECB, Fed & EU Summit

Currency Volatility: GBPUSD, EURUSD Outlook Ahead of ECB, Fed & EU Summit

Justin McQueen, Analyst

Currency VolatilityGBPUSD and EURUSD Talking Points

  • GBPUSD Volatility Remains Elevated, Brexit Extension Likely
  • EURUSD Volatility Muted, Despite ECB and Fed Releases

Top 10 most volatile currency pairs and how to trade them

1D and 1W Implied Volatility

Currency Volatility 1D & 1W Analysis

Source: Thomson Reuters, DailyFX

Take a look at our Brexit Timeline to see how negotiations have impacted the markets.

Across the G10 space 1-day implied volatility have picked up slightly, however, they continue remain at very muted levels, with the exception of GBPUSD for obvious reasons (Brexit). In a week that will see the release of the ECB April rate decision, Fed meeting minutes and likely Brexit extension announcement at the EU summit (Wednesday), 1-week vols have dipped slightly. In turn, this suggests that there may be little in the way of fresh policy signals in the ECB and Fed releases, while a possible Brexit extension seen as the most likely scenario.

EURUSD: While implied vols have picked up, EURUSD volatility continues to remain subdued with options implying a meagre move of 22pips. Tomorrow could see 1-day vols as this would cover the ECB, Fed, and EU summit. Both 1-day and 1-week risk reversals have edged closer to neutral as demand for Euro puts recede slightly, suggesting that the range in the pair may continue to hold. Implied move for the week at 63pips.

GBPUSD: Unsurprisingly, GBPUSD volatility is notably higher relative to its G10 counterparts, which sees an implied move of 189pips for the week. Given that headline risk continues to remain elevated the daily implied move sits at 70pips. 1-week and 1-month Risk reversals continue to show a sizeable premium for downside protection in GBPUSD as the Brexit uncertainty is likely to persist. Alongside this, with the latest COT report showing speculative positioning in GBP relatively neutral, there may be little in the way of a short squeeze on a Brexit extension announcement.

G10 FX Implied volatility

Source: Thomson Reuters, DailyFX

For a more in-depth analysis on FX, check out the Q2 FX Forecast

--- Written by Justin McQueen, Market Analyst

To contact Justin, email him at Justin.mcqueen@ig.com

Follow Justin on Twitter @JMcQueenFX

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

DISCLOSURES