Australian Shares Open The Week Quietly
Australia started the binary options week with a quiet tone. The ASX 200 was last down 3.6 points to 4720.20 and most of the main resource and banking stocks were mixed. In quiet markets, it’s best for binary options traders to stay on the sideline and wait for a headline making event. A quiet market will frustrate the average trader and lead to unnecessary losses. All eyes will be on Australian retail sales released on January 9 and building approvals released on January 10. The euro zone will release its employment report later today following Friday’s US labor report. The euro zone forecast is for the unemployment rate to tick up to 11.8 percent from 11.7 percent in November.
Leading Forecasters Release Their Predictions For Aussie Dollar In 2013
Last year’s 5 leading currency forecasters released their predictions for the Aussie dollar over the weekend. Bank of New Zealand and CIBC both see the Aussie dropping to 99 cents to the US dollar. Monex Europe sees the Aussie at $1 and TD Securities forecasts $1.02. Wells Fargo is the only bullish forecaster calling for $1.07. The analysts credit the perceived weakness to US dollar strength and the ending of the Fed’s bond buying program. Wells Fargo makes the bullish case due to the rebound in the global economy and strong demand for Australia’s natural resources from China.
Gold And Silver Continue Their Rebound
Gold and silver prices are both higher to start the new week. Buyers in the binary options market are stepping back in as they see the latest sell off in prices as being overdone. Gold was last up $11.50 to $1660.40 and silver rose 44 cents to $30.39. Platinum and palladium rose as well, while copper was relatively unchanged.
Crude Oil Flat After Last Week’s Huge Rally
Crude oil prices started the new week relatively unchanged. Some traders are expecting some profit taking after last week’s rally. Remember nothing goes straight up or down and some selling can be expected. Binary options puts will be in play with profit taking in the crude oil complex. Crude oil was last trading down 15 cents to $92.94 and Brent was trading up 13 cents to $111.44 a barrel. Traders are watching the 50 day moving average $93.70 as the next sign of resistance and after that is the key $95 psychological level. Overall most analysts are expecting crude oil to rise this week, so binary options put traders need to be cautious and use a shorter time frame for trading.
Most Asian Markets Little Changed And Waiting For Direction
Outside of the metals space, not much is happening in any market right now. Most markets are trading the unchanged line and going back and forth. Again my recommendation is to trade the markets that are moving and avoid the quiet ones. Right now best play for binary traders is the metals space as the bulls are buying the dip. Further advances are likely and binary call options are the play for the metals. The US market has very little news this week, but several Federal Reserve members will be making speeches and those will be closely watched for any hints on the status of the Fed’s bond buying program.
As always, good luck trading and don’t chase the markets. Let the trade come to you the trader and look for the right pitch, the same as a baseball batter. Be sure to check back for the latest updates!
