Helena Izotova
Yesterday the market was relatively calm. There was practically no significant news. As expected, the level of volatility declined a little. The currency pair rebounded from the main option barrier (1.5911) and rallied, passing almost 100 points.
Today’s news background is going to be fairly rich in major economic reports: BoE rate decision, ECB rate decision and Jen-Claude Trichet’s press conference, jobless claims (US), the US and eurozone’s trade balance and of course Obama’s speech in the Congress.
Trichet and Obama’s speeches are very significant as they may influence the near future of the global economy and define new long-term trends in financial markets.
Meanwhile, GBPUSD is still moving between 1.5911 and 1.5999, 2 option barriers. The volatility is still high. That is why the Department of Options of recommends abstaining from using the option strategies aimed at buying volatility.
Helena Izotova
