Currencies
- On Friday the euro traded near its lowest point in the last 8-months against the dollar. The pair remains bearish as the German Ifo Business Climate was worse than expected while the US Unemployment Claims on Thursday were better at 284K. The pair is currently trading near 1.3428.
- The Dollar remained range bound against the yen around 101.80. The greenback advanced against major peers this week before US Unemployment claims data showed growth in labour near the fastest pace in the last three years.
Equities
The US equities fell on Friday. The S&P 500 went to 1967, the Dow 30 to 16886 and the Novadaq Technologies Inc. (TO:NDQ) to 3954.
Commodities
Corn gained last week trading above 366 USD cents per bushel as the prices fell to the lowest in four years.
Mover & Shaker with FX Options
Gold rose on Friday to 1307 as investors increase their bets on a gold rally while markets expect the tension between Russia and Ukraine will worsen.
Option traders may consider constructing a Back Spread Strategy with Calls on the XAU/USD and gain if the pair moves higher, while the risk is limited to the premium paid.
A Back Spread Strategy with Calls can be constructed by selling an at the money Call while buying an out of the money Call at double amount.
Disclaimer: Forex, Commodities, Options and CFDs (OTC Trading) are leveraged products that carry a substantial risk of loss up to your invested capital and may not be suitable for everyone. Please ensure that you fully understand the risks involved and do not invest money you cannot afford to lose. Please refer to our full risk disclaimer.