The big weekend European summit has passed by without a major agreement on the two potential models to expand the financial firepower of the European Financial Stability Facility.

Focus has now shifted to Wednesday’s joint EU and Eurozone summit which is supposedly the deadline for tangible plans to be produced. What price on this deadline slipping with more hazy plans put out in the interim?

Markets are still willing to buy on optimism and S+P 500 futures are up another 0.25% this morning after successfully holding the 1200 level last week.

‘Risky’ commodity currencies are pushing higher with the AUD/USD and NZD/USD up around 0.40%.

European currencies are largely unmoved this morning with the EUR/JPY flirting with the 106 level this morning. The GBP/JPY is also testing the 122 level from below.

Gold held the $1600 level last week, but still is still stuck in a range between $1600 and $1700.

Trading Today

This morning sees the release of various European flash manufacturing and PMI data points.

NZD/USD Fixed Odds Trading Idea

Markets appear to be looking at the glass as being half full at the moment, but nothing in European politics is ever as straight forward as it could or should be.

Spread betting markets have rallied on the hope/expectation of a successful resolution of the Eurozone crisis, but there could be some road bumps before the big summit meeting on Wednesday. The NZD/USD can be a good way to play exaggerated moves on global confidence due to its high yielding interest rates and might offer better risk reward than the EUR/USD ironically.

There are no guarantees that there will be disappointment this week, but if there is, the NZD/USD could be a good pair to be on.

A way to play this might be a Lower trade predicting that the NZD/USD is below 0.8025 in 1 days time for a potential return of 166%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Friday Afternoon

The fear/hope barometer swung towards hope on Friday afternoon with stock markets heading for a 1%+ close and the dollar dropping by around 1% against most other currencies.

The USD/JPY dropped by around 1%, hitting the 76.00 level for the first time since August. Traders have speculated that the Bank Of Japan won’t intervene until Thursday. With the threat of stepping on a central bank land mine seemingly diminished, traders have been happy to buy up the yen.

The EUR/USD had a positive day last Friday, but the EUR/JPY struggled owing to the strength of the yen.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

Markets managed to rally off their lows last night, as the European debt fear barometer swung back to glass half full.

This morning the barometer is dipping back towards fear as conflicting reports continue to emerge ahead of the crucial debt talks this weekend. S&P 500 futures are slightly higher, holding the gains made in the US evening session.

The EUR/USD is down 0.26% with the EUR/JPY down 0.41%. The four hour chart of the EUR/JPY clearly shows the lack of direction seen in the pair over the past few days.

The EUR/CHF is the morning’s top mover down 0.66% as the Swiss franc continues to pull back from its October low.

The USD/JPY is dropping again, but so far this week the 76.60 level has held strong.

Gold spreads have rallied 0.63% this morning, having successfully held the $1600 level.

Trading Today

Aside from the inevitable tape bombs ahead of the weekend’s European debt conference, we have German Ifo business climate due at 09.00 and UK public sector net borrowing at 09.30. Canadian CPI follows at 12.00.

EUR/JPY Fixed Odds Trading Idea

Markets have high hopes for the weekend’s European conference, but the omens aren’t good going by the reaction to leaked proposals this week. FX spread betting markets are rightly sceptical that officials will be able to do anything more than product more half plans and suggestions. Now is the time for bold action – do European officials have it in them?

I think not, but what I do think there is a strong chance of is for them to produce something that does just enough to keep spread betting markets happy…until the finer points are unpicked in the following week.

This could produce a boost to the EUR/JPY in the short term over the weekend. A way to play this might be a Higher trade predicting that the EUR/JPY closes Monday (1 day) above 106 for a potential return of 140%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

Markets back yesterday afternoon on the not entirely surprising news that this weekend’s European summit may be set to disappoint. Indeed, it may not happen at all if market rumours are to be believed. The Daily Telegraph also leaked a supposed draft plan for the planned summit which spectacularly underwhelmed analysts.

In addition to the Eurozone worries, US existing home sales came in below estimates with unemployment claims slightly above predicted levels.

The EUR/USD was down 0.47% with the EUR/GBP down 0.26% due to better than expected UK retail sales.

S&P 500 futures were back below the pesky 1200 level once again as the FTSE 100 closed down 1.21%.

Gold was the biggest mover yesterday afternoon, slipping steadily towards the $1600 level, down 2.19%.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

This morning financial spread betting markets are on the back foot following last evening’s session sell off.

Markets are still looking to European officials to bring out the ‘Bazooka’, a plan that will put to bed the Eurozone worries once and for all. Up until now officials have provided solutions that do little more than buy time, but now it is crunch time and markets are demanding a meaningful solution.

The omens weren’t good last night when an FT story suggested that European banks would only have to raise 100 bn euros, less than a third of what the market thinks they really need. In addition, European lawyers have questioned the legality of proposals to leverage up the EFSF under the ‘no bailout’ clause.

The gold spread betting market is being hit hard this morning, down 1.90% on the day. The precious metal is certainly no safe haven in the current climate thanks to over leveraged speculators (and possibly banks) offloading in times of stress.

Similarly, the Australian dollar is feeling the heat with the AUD/USD down 0.65% and the AUD/JPY off by 0.82%.

The euro is also down this morning with the EUR/USD down 0.47% and the EUR/JPY down 0.62%.

Trading Today

Coming up today we have UK retail sales at 09.30, expected to come in flat.

US unemployment claims follow at 13.30 with a slight drop to 401k expected.

The heavy data sets continue with US existing home sales and the Philly Fed Manufacturing Index at 15.00.

EUR/GBP Fixed Odds Trading Idea

European headlines will probably dominate trading well into the weekend. It is almost impossible to predict what might come out next and more importantly, what the market reaction might be.

If past behaviour is anything to go by, European officials might put out a grand rescue plan that sends markets higher in the short and medium term, only for the cracks to re-appear because the plans do not address the problems inherent in the Eurozone’s faulty architecture.

In the short term then, anything can happen and the EUR/GBP might be a good pair to focus on. Follow through has been lacking on this pair since August with an up day more likely to be followed by a down day and vice versa. Yesterday’s EUR/GBP sell off could therefore be a buy signal for today, especially with the pair range-bound between 0.8700 and 0.8800.

A way to play this might be a Higher trade predicting that the EUR/GBP closes today above 0.8735 for a potential return of 144%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

The British pound was the standout performer yesterday afternoon as traders speculated on the winners and losers from any Eurozone bailout plan.

There appears to be mounting expectations that the coming weekend will lead to some firm and decisive action from European leaders.

The GBP/USD was up 0.67% with the GBP/JPY up 0.74%. The pound and euro headed in opposite directions with the EUR/GBP down 0.23%.

Commodity currencies lost their early shine with the AUD/USD losing its early morning advance.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

This morning the EUR/USD is leading the dollar pairs despite continued mixed messages coming from European leaders.

Many of the proposed solutions so far are likely to buy the Eurozone time, but nothing so far addresses the underlying causes of the problems – The chronic un-competitiveness of certain peripheral nations.

Perhaps markets are more concerned with overcoming the short term dangers before even thinking about the longer term. Whatever the case, it seems traders are willing to buy up the euro right now, pushing the EUR/USD spread betting market through the testing 1.3800 level once again. The EUR/USD is up 0.60% with the EUR/JPY up 0.53%.

Shares spread betting market futures are telling a different story, with the S&P 500 futures down around 0.50%. This is due to partly profit taking after US markets rallied into the close last night. Apple also disappointed after the closing bell with sales that didn’t meet analyst’s expectations. The last time this happened was 2002, before the ipod was launched.

Commodity currencies are strong this morning as well with the AUD/USD up 0.45%, though gold is struggling, down 0.25%.

Trading Today

Coming up today we have European current account data at 09.00.

At 09.30 we have the release of the minutes from the last MPC meeting.

US building permits and CPI figures follow at 13.30.

USD/JPY Fixed Odds Trading Idea

After a volatility spike last week, the USD/JPY is slap bang in the middle of its average trading range of the last few weeks.

The pair has fallen for two consecutive days, something that hasn’t happened much when the pair is near its range mid point. A way to play this might be a trade looking for a small rebound back higher. A Higher trade predicting that the USD/JPY closes today above 76.732 could return 104% if successful.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

After a shaky starting, confidence returned to the financial markets yesterday with the S&P 500 futures once again above 1200 and the AUD/USD rallying 0.70%. Commodity currencies were also having a good day in general with the USD/CAD down 0.68%.

The ‘risk on’ theme was not universal however with the euro still stuck in the water and the British pound severely lagging behind. The EUR/USD was unchanged on the day as French bonds continued to come under pressure. Credit rating agencies are concerned about the ability of countries like France to shoulder the burden of the bailout.

The GBP/USD was down 0.28% and the GBP/JPY off by 0.30% despite higher than expected inflation figures.

The Bank of England stated that it expects inflation to tail off in 2012, which explains some of the sell off. Of greater worry are comments from the likes of Moody’s who state that they don’t see any change in UK rates until 2012 and expect sub 2% growth in 2011 and 2012.

Gold saw some significant volatility yesterday, dropping over $40 at one stage, before recovering in the afternoon session.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

This morning markets have a negative tone as a follow on from last night’s sell off. There were a number of factors to explain yesterday’s sell off, not least renewed concerns about the Eurozone.

Yesterday, UBS were quoted as saying that “The risks are that Europe’s leaders disappoint elevated expectations”. It certainly seems shares spread betting markets had got ahead of themselves on many fronts with continued absence of any firm plans from European leaders.

In addition, US markets suffered as the the S&P 500′s nine day 10% rally came to an end. IBM’s latest earning figures disappointed, sending stock markets lower by around 2%.

The S&P 500 futures dropped back below 1200 with the Dow Jones failing at the 11500 level. The negativity has continued with the S&P 500 dropping another 0.44% this morning.

On currency markets, the biggest sell offs have been on the commodity linked currencies. Over two days the AUD/USD has dropped 1.80%, the NZD/USD -1.85% and the AUD/JPY spreads down by 2.30%.

The euro has been caught in the general sell off but has certainly not been singled out for punishment yet. By contrast, the British pound is showing relative strength, as can be seen in the EUR/GBP which is heading back towards 0.8700 this morning.

Gold’s meandering up trend is still intact, though the precious metal did fail its first serious test of the $1700 level since September.

Trading Today

We have a very busy economic calendar today with the main focus this morning being UK inflation. CPI is expected to come in at 4.9% with RPI expected at 5.4%.

European and German ZEW economic expectations follow at 10.00 with worsening sentiment expected.

US PPI follows at 133.30 with TIC long term purchases due at 14.00.

In the evening, central bankers are in focus with Fed Chairman Bernanke speaking at 18.15 and BOE governor King speaking at 18.30.

Gold Fixed Odds Trading Idea

Since the big volatility spike in September, gold’s daily trading range has become increasingly more stable with the 14 day average true range at $44.4 and today’s range so far being just $14.40.

The precious metal has been behaving rather differently in recent months; falling on days of panic as stock markets and commodities reach record levels of correlation.

With gold offering very little follow through momentum in either direction and an increasing contraction in trading ranges, now could be a good time to look for the opposite to develop a sustained breakout.

A way to play this might be an In/Out trade predicting that Gold closes outside of either $1600 or $1725 could return 230% over 7 days.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

European stock markets are set for a positive start following a strong close on Wall Street on Friday.

Better than expected retail sales, impressive earnings for Google and a record close for shares in Apple all helped lift markets.

The tech heavy Nasdaq 100 spread betting market is leading the charge with the index now just 2.5% off the 2011 highs. S&P 500 futures and Nasdaq 100 futures are a further 0.30% higher this morning.

By contrast, there is a more negative tone to early trade on currency markets with the US dollar making back some of its Friday losses. So far moves are controlled with the NZD/USD spreads the morning’s top mover, down 0.34%. The euro is little changed after bursting through the 1.3800 level last week.

Trading Today

Coming up today we have a number of middle tier economic announcements including the US Empire State Manufacturing Index at 13.30.

Today’s only top tier announcement is the Bank of Canada Business Outlook Survey.

USD/CAD Fixed Odds Trading Idea

Today’s BOC Business survey could provide enough fuel for the USD/CAD to re-touch the hallowed parity level once again. Since breaking through in September the pair has been inching back towards the 1.000 throughout October.

A strong BOC business reading today could see the pair touch the parity level in the next two days. A way to play this might be a One Touch trade predicting that the USD/CAD touches 1.0000 at some point before the close tomorrow (1 day) for a potential return of 117%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

This morning there is a muted reaction to the downgrade of Spanish debt by ratings agency S&P.

It seems that the agency has done little more than confirm what spread betting markets have been saying for weeks.

Today we have the start of the G20 meeting which runs into the weekend. The talks will be centred around Europe with terms of the rescue plan still being finalised amid news that France and Germany are disagreeing on Lisbon treaty reforms.

Markets are in a holding pattern right now, but this could be broken by some strong data from the US today. Last week it was the better than expected NFP data that lifted indices spread betting markets with US retail sales data due today. Today American shoppers could once again provide Europe with some breathing space. Or not…

The hourly charts of the EUR/USD and AUD/USD capture the current mood rather well with choppy range bound trading being the dominant theme in the last couple of days.

The USD/CAD spread betting market is showing a similar pattern with the pair’s descent coming to a halt around 1.2000.

Gold is not longer a one way ticket, but the trend still seems to be pushing higher. A breakout day is surely due.

Trading Today

Coming up today we have US retail sales and core retail sales due at 13.30 with a rise expected of 0.2% and 0.5% respectively.

At 14.55 the consumer remains in focus with the release of preliminary University of Michigan Consumer Sentiment figures. A rise to 60.20 is expected.

NZD/USD Fixed Odds Trading Idea

The current impasse cannot last forever with pairs such as the NZD/USD looking prime for a breakout.

A way to play this might be a In/Out trade predicting that the NZD/USD closes outside of either 0.7850 or 0.8050 in 3 days time (Monday). This could return 177% if successful.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

Afternoon Report: 18.30

Yesterday’s trading could probably be described as shaky at best. It started well with the Australian dollar leading an early risk on rally, but enthusiasm waxed and waned as the day progressed.

The main negative concerns the details of the proposed ‘haircut’ that European banks may have to take in relation to Greek debt losses. The proposed 50% is bigger than people previously thought.

On the positive side though, Slovakia passed the EFSF vote as expected at the second time of asking. In addition, US trade balance and unemployment claims came in slightly ahead of estimates.

The euro was down in yesterday’s session with the EUR/USD off by 0.20% and the EUR/JPY down by 0.76% as the yen strengthened.

The USD/JPY spiked lower in the morning session but not moved much past this throughout the rest of the day.

The AUD/USD gave up a large part of the morning’s gains but was still in positive territory yesterday afternoon.

The key test of stock markets was still unresolved with the S&P 500 futures still not making a significant break above the 1200 level.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

This morning, the AUD/USD spread betting market is extending the run that has seen it rally over 7.50% since the lows of September.

In the same period the NZD/USD has gained 6.5% and the EUR/USD 5%. The Aussie is rallying today after better than expected employment change and unemployment data.

Elsewhere in the currency spreads, the British pound continues to lag with the GBP/JPY down 0.27% this morning following yesterday’s unemployment figures which came in above estimates.

The yen is strengthening this morning following yesterday’s volatility spike, with the USD/JPY down 0.28%.

The euro continues to stabilise with the EUR/USD up 0.32% this morning.

Trading Today

Today we have trade balance figures from the UK, Canada and the US at 09.30 and 13.30 respectively.

US unemployment claims are also released at 13.30.

USD/JPY Fixed Odds Trading Idea

Since the Bank Of Japan stepped in, trading against big moves from the previous day has been a successful strategy on the USD/JPY. Yesterday’s spike higher provides another opportunity. We’re a bit late to the game on this, with the USD/JPY already selling off, but there could still be room for further downside.

A way to play this might therefore be a lower trade predicting that the USD/JPY closes below 76.90 in 1 days time for a potential return of 134%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

Markets continued the excellent run of form seen throughout October with ‘risk on’ currencies and stock markets rallying hard yesterday.

There has been little tangible or positive news coming out of the Eurozone, yet markets appear to be taking official’s assurances and initial plans on face value. Many still doubt that the Eurozone problems have been dealt with for good, but it appears better than expected US economic growth might help smooth over the cracks.

The FTSE 100 closed above the key 5400 level, while the S&P 500 futures closed above the key 1200 level.

The high interest rate ‘risk on’ currencies lead the charge with the AUD/USD and NZD/USD up over 2.35%. The AUD/JPY was the day’s biggest mover, up 3.30%. The Canadian dollar also showed considerable strength, with the USD/CAD dropping 1.40%.

The USD/JPY came out of its stupor to record its widest daily trading range since the start of August.

The EUR/USD rallied in line with other dollar pairs yesterday with the pair up 1.22%.

Gold also profited from the dollar weakness to trade just shy of the $1700.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

Overnight the Slovak government voted against expanding the EFSF (European Financial Stability Fund).

All Eurozone countries must ratify the changes before they can come to pass, so technically the vote failure could derail the bailout plans. In reality, there appears to have been some political horse play involved in this vote, with a second vote likely to pass as early as Thursday.

So although the Slovakia rejection is getting lots of headlines, FX spread betting markets are unperturbed with little significant movement in the euro today. European politicians have a history of getting the vote they need eventually.

Today’s top mover is the NZD/USD which is up 0.44%.

Gold spreads are not far behind with the precious metal up 0.42%.

Although the Slovakia vote has not sunk the euro, it has stopped its momentum. When looking at the EUR/JPY spread betting market, 105.00 looks like it could be become difficult resistance to break.

Trading Today

Today we have UK jobless claims change data with the level expected to rise by 24.7k. The unemployment rate is also released with the level expected to stay at 7.9%.

Later this evening we have a number of central bank speeches from the FOMC and ECB from 18.20. The minutes from the last FOMC meeting are released at 19.00.

USD/JPY Fixed Odds Trading Idea

The Bank of Japan’s efforts to control the movement of the yen are having some effect with the USD/JPY stuck in a tight range so far this month. The last few days have been even more extreme with the pair trading in a 50 point range. The 14 day Average True Range is now the lowest it has been fore many years.

Even accounting for the Bank of Japan’s activities, this tight range is unusual and could provide some opportunity to take a breakout trade.

The direction of the breakout is hard to predict, but a move lower might have the better chance.

A way to play this might be a One Touch trade predicting that the USD/JPY will touch 76.35 at any point before the close tomorrow. If successful this could return 112%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

By recent standards, yesterday’s session was rather tepid with most currency pairs and stock indices retreating from the extreme’s of current trading ranges.

The euro showed relative strength though as European politicians continue to make the right noises. In addition, it is becoming apparent that Slovakia will not be allowed to derail the expansion of the EFSF.

It seems that euro traders picked up on this theme with the EUR/USD up 0.17% yesterday. The EUR/GBP was up around 0.50% as the euro’s strength overpowered the pound’s weakness on the back of below par manufacturing data.

The other movement of note was gold which went down 0.70%, partly due to the dollar’s strength.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.
 

Last night, US markets closed strongly with the S&P 500 up 3.41% and the Dow Jones up 2.97%.

This morning the S&P 500 futures have slipped back, but not by much, down 0.10% this morning.

On currencies, the euro continues to show relative strength, with the EUR/USD up 0.25%.

By contrast the Australian dollar is lagging as commodities succumb to profit taking. The AUD/USD and AUD/JPY are down 0.25%.

Gold enjoyed a strong day yesterday, closing around $1675, though no progress has been made this morning.

Trading Today

This morning we have a speech from ECB president Trichet starting at 08.30.

At 09.30 we have UK manufacturing with a drop of -0.1% expected. UK GDP estimates are also due at 15.00.

At 13.15 Canadian housing starts are due with a gain of 187k.

EUR/GBP Fixed Odds Trading Idea

The euro continues to show good momentum with the EUR/GBP above its 10 period moving average once again.

In 2011 though this has not exactly been a sure-fire buy signal, in fact it has been quite the opposite with a profit made by selling the EUR/GBP when it crosses above the 10 MA and buying when it crosses below.

A way to play this might be a Higher trade predicting that the EUR/GBP closes below 0.8700 in 5 days time for a potential return of 139%.

Editor’s note: if you lose a fixed odds trade then you lose 100% of your stake.

The Markets Yesterday Afternoon

Financial spread betting markets rallied strongly yesterday on the hope that European politicians are finally getting to grips with the crisis. As the WSJ’s Marketbeat outlines though, there still haven’t been many details released, making yesterday’s rally an act of blind faith in part.

The dollar came under extreme pressure with commodity currencies, gold, the Aussie dollar and of course the euro all pushing significantly higher.

The pound was lagging considerably as was evidenced by the EUR/GBP‘s 1.40% gain.

Stock markets were quickly heading back to test the September highs with the FTSE 100 spreads falling just short of the 5400 level.

The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.

This website content does not constitute investment advice. No individual contributor, contributing company, BetOnMarkets nor Online-Spread-Betting.com accept any responsibility for any use that may be made of the content.