There is just one to take note of for the day, as highlighted in bold below.
That being for EUR/USD at the 1.1750 level. But on a day like this, the impact of any larger option expiries should be negated. This one keeps near to the current spot price but I would say that it will not come into play whatsoever.
At the moment, traders and broader market players are all reacting to the US-Iran conflict. That’s the main driver of trading sentiment to start the week.
The dollar is making a solid comeback in all of this, upending the recent narrative that it doesn’t do well as a hedge for safety these days. But in a time when markets still need dollars to settle their oil transactions and prices for the commodity is surging, being short dollars is not an enviable position.
It’s all a short-term reaction but it is still one that needs to play out before we can focus on the bigger picture eventually.
So, that’s the play at the moment as the dollar surges higher alongside commodities in a big, big flight to safety while stocks are slumping. That as market players likely expect this uncertainty and heightened geopolitical conflict to extend for a few weeks at least.
For more information on how to use this data, you may refer to this post here.
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This article was written by Justin Low at investinglive.com.