The S&P 500 saw a drop just before trading began, with retail investors closely watching the PCE and UoM data. Prices bounced back to nearly where they were before the dip. This week, the stock market showed strength, even after a sell-off in Bitcoin at the start. Crypto had a tough day on Friday, yet the Nasdaq performed better. There was a noticeable difference in how major stocks performed, with NVDA and GOOGL standing out as top performers for the year. There are still doubts about whether the market can maintain a Santa Claus rally, especially with possible hawkish signals from Powell. Upcoming earnings reports from companies like ORCL and AVGO also play a role in shaping market trends. On Friday, economic data fell short of expectations, but the market absorbed it well without much impact on the index. Retailers showed mixed results, with signs pointing to better activity in services compared to manufacturing, raising concerns about a recession. Rising yields in Japan didn’t sway the Nikkei or global stocks. This information is not investment advice. Always conduct thorough research and be aware of risks, including the possibility of total loss. The opinions expressed do not represent the views of FXStreet or its advertisers. The S&P 500 is demonstrating strong resilience, creating higher lows even after a shaky start to the week. Friday’s Core PCE inflation data showed an increase of 2.8%, which was better than the feared 3.0%. This sparked a buy-the-dip mindset, indicating investors can tolerate news that isn’t overly negative, which is a positive sign for now. With the Federal Reserve meeting next week, a 25-basis point rate cut is widely expected, marking the first since the significant rate hikes of 2022-2023. The VIX index remains low at around 14, making call options on indices like SPX and NDX a smart way to prepare for a potential year-end rally. However, this low VIX means any unexpected hawkish comments from the Fed could lead to a sharp increase, suggesting that protective puts might be wise. The Magnificent Seven stocks are now moving independently, so we need to be more careful with single-stock options. Currently, about 55% of S&P 500 companies are above their 50-day moving average, indicating that the market’s advance isn’t strong across all sectors. It’s better to focus on derivatives strategies involving leading stocks like NVDA or essential sectors like banking instead of betting on broad market ETFs. Looking ahead, traders are eager for a classic Santa Claus rally. Historically, this is a strong time for stocks, with the S&P 500 rising about 77% of the time during the last week of December and the first two trading days of January. Given this seasonal boost, using short-dated weekly call options could effectively capture a quick, sentiment-driven price increase.

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Nasdaq futures are moving closer to key resistance zones, with daily projections matching intraday patterns. This hints that a breakout or rotation could happen soon. On Friday, Nasdaq futures followed the planned structure, confirming our analysis for the week. The five-minute intraday chart showed three important zones that directed price movements, highlighting consistent patterns.

Key Levels Guide

At Friday’s open, Nasdaq futures dipped to a middle structure around 25,591, where buying interest emerged, signaling a potential trend pivot. Later, the price reached the upper structure at 25,805 – 25,855, confirming the significance of these zones as supply/demand markers. Key levels are as follows: – Middle structure (25,560 – 25,677): Decision zone – Upper structure (25,805 – 25,936): Breakout area – Lower structure (25,428 – 25,297): Possible rotation zone These structures help traders predict market movements. The daily chart shows that Friday’s close was above the value area high (VAH) at 25,575, indicating ongoing acceptance and a possibility of bullish continuation. Next targets for upward movement are in the 25,888–26,320 range. Bullish scenarios rely on holding essential levels and breaking out, while bearish scenarios focus on failed zones and potential rotations. The plan for the upcoming sessions depends on these structural factors during futures consolidation.

Market Catalysts Ahead

Entering the second week of December 2025, Nasdaq futures are tightly compressed within a defined structure. The key decision point is the middle zone between 25,560 and 25,677. If the price stays above this zone, the outlook remains bullish. However, market indecision suggests we need a significant catalyst for the next move. The upcoming catalyst is likely the November Consumer Price Index (CPI) report due next week, followed by the final Federal Reserve meeting of the year on December 17th. Recent inflation data shows a steady rate around 3.1%, and a stronger-than-expected jobs report has made traders cautious about committing to a direction. This uncertainty is contributing to the current price compression within these repeating structural zones. For now, options traders might find opportunities in low volatility, as the VIX remains at a multi-month low of 14. Strategies that thrive on sharp price changes, like straddles, could effectively capture a breakout driven by the upcoming economic data. The defined price structures offer clear levels for setting strike prices based on expected movement. If buyers can hold above the 25,560 pivot, the path will be open to test upper resistance at 25,805. Successfully breaking and holding above this level could line up with classic end-of-year strength, known as the “Santa Claus Rally.” Historically, this time often boosts equities, potentially leading the market closer to the higher daily targets around 26,320. Conversely, if the 25,560 support level fails, it would signal a significant warning. A high CPI report could easily push prices down into the lower liquidity zone between 25,428 and 25,297. Such a move would indicate that bearish sentiment is gaining traction ahead of the Fed’s final policy announcement for 2025. Create your live VT Markets account and start trading now.

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Wynn Resorts has broken through a major resistance trendline that has been in place since 2014. This breakout, seen on the weekly chart, suggests a potential change for the company, which has historically struggled with this line. In the past, significant rallies in 2018 and 2021 were stopped by this resistance, creating a psychological hurdle for investors. The recent breakthrough may indicate a shift in the company’s fundamentals or market perception, aided by the recovery in Macau and Las Vegas after the pandemic. The new target for the stock is set at $162.64, representing a possible 28% increase. Analysts are watching to see if the stock can hold above this trendline, which would confirm the breakout’s validity. Buying when the stock is between $115 and $120 could provide a good risk-reward opportunity. Traders are advised to set stop-loss orders below the latest swing low and look for support at the previous resistance level. On the flip side, there is a concern about false breakouts, which have happened in the past. If macroeconomic conditions worsen, the stock might drop back. The outcome will depend on whether Wynn can keep its gains in the coming months. The $162.64 level will be critical for determining the future performance of Wynn’s stock. We are witnessing a significant technical shift at Wynn Resorts, which has finally broken its resistance trendline from 2014. This breakout is backed by strong fundamentals; Macau’s Gaming Inspection and Coordination Bureau reported that in November 2025, gross gaming revenue reached MOP 22.5 billion—the highest monthly performance in over five years. This indicates a strong recovery. For those trading derivatives, it’s a good time to consider bullish positions, especially on minor pullbacks. Buying call options, particularly with February or March 2026 expiration dates, on dips towards the new support area of $115-$120, provides a favorable risk-reward setup. This approach allows participation in potential gains while clearly defining the maximum loss. The next major target is the $162.64 resistance level, which previously halted rallies in 2018 and 2021. This move seems possible due to ongoing strength in Las Vegas. Recent data from the Nevada Gaming Control Board for the third quarter of 2025 shows a 5% year-over-year increase in Strip revenue, indicating positive momentum extends beyond its Asian operations. Implied volatility on WYNN options has risen with the breakout but remains lower than the peaks seen during the market turbulence of 2022. This makes bull call spreads a smart strategy for positioning toward the target. For example, buying a $130 strike call and selling a $160 strike call for March 2026 could reduce entry costs while capturing a significant part of the expected move. The main risk is a “false breakout,” where the price fails to stay above the old resistance line. If the stock drops convincingly below $115, it would negate the bullish outlook. In this case, traders should be ready to exit long call positions or even consider buying puts if the downward trend accelerates.

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**China’s Foreign Exchange Reserves** China’s foreign exchange reserves for November were lower than expected. They reached $3.346 trillion, while the forecast was $3.36 trillion. The EUR/USD is currently at 1.1650, affected by US inflation rates and risks from the European Central Bank (ECB). Meanwhile, the Canadian dollar has gained ground thanks to positive labor data. The Dow Jones Industrial Average shows slight gains as PCE inflation decreases, raising hopes for interest rate cuts. Gold prices are steady at $4,200 amid expectations of the Federal Reserve easing its policy. Bitcoin holds steady above $91,000, and Ethereum is over $3,100 ahead of a key monetary policy meeting. However, Ripple continues to drop, currently trading at $2.06. Upcoming meetings for central banks include the Federal Reserve, Reserve Bank of Australia (RBA), Bank of Canada (BoC), and Swiss National Bank (SNB). While significant surprises are unlikely, the market is still optimistic about potential rate cuts from the Fed. We have reviewed several brokers for 2025, emphasizing their services, especially for traders wanting to minimize costs and utilize high leverage. It’s important to research thoroughly due to potential investment risks. **Market Event Outlook** FXStreet and the author caution about potential losses in market investments. This information is for educational purposes only and should not be taken as investment advice. The key event we are watching is the Federal Reserve’s meeting on December 10th. A rate cut is widely expected, leading to increased implied volatility on index and currency options. We should explore strategies that could benefit from the expected drop in volatility after the announcement, as the market’s biggest question will finally be resolved. The US Dollar is feeling pressure due to rate cut expectations, similar to the pattern observed during the easing cycle in 2019. Current data from the CME FedWatch tool indicates that the market has priced in at least a 25-basis-point cut, affecting the greenback negatively. Options on currency pairs like EUR/USD, currently around 1.1650, could be used to capitalize on potential dollar weakness if the Fed’s outlook is more dovish than expected. Gold’s price at $4,200 is closely linked to expectations of lower interest rates, which lessen the cost of holding non-yielding assets. Historically, gold has thrived during Fed easing cycles, such as after the 2008 financial crisis. We should monitor call option activity on gold futures, as it may indicate that traders expect the Fed to signal a prolonged period of lower rates. The slight drop in China’s foreign exchange reserves is an important detail to note. In November, reserves fell to $3.346 trillion. Over the last two years, a gradual decline could suggest that the People’s Bank of China is selling dollars to stabilize its own currency under economic stress. This may lead to risk-averse sentiment, indicating a need for puts on China-related stocks as a potential hedge against our primary Fed-driven positions. In the stock market, the Dow’s modest gains reflect cautious optimism ahead of the Fed’s announcement. The VIX index, which measures expected volatility, typically falls after a Fed announcement as uncertainty lifts. Thus, selling options premium through strategies like iron condors on the S&P 500 might be effective if we believe the Fed won’t present major surprises. Create your live VT Markets account and start trading now.

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Colombia’s Consumer Price Index (CPI) for November is at 5.3% year-on-year, lower than the expected 5.45%. In other finance news, the EUR/USD exchange rate is stable at 1.1650, influenced by US inflation and possible actions from the European Central Bank. The GBP/USD has dropped to around 1.3320 after a unsuccessful rise.

Gold Prices and Cryptocurrencies

Gold is currently priced at $4,200 per troy ounce, as there is growing anticipation of a possible policy easing from the Federal Reserve. Bitcoin is holding steady above $91,000, while Ethereum remains over $3,100 ahead of the Federal Reserve’s upcoming meeting. Ripple is down to $2.06, as investor sentiment stays low despite consistent interest in XRP spot ETFs. In the coming week, the Fed is expected to announce a rate cut, and other central banks like the RBA, BoC, and SNB also have meetings coming up. Information from FXStreet includes risks and uncertainties and should not be considered investment advice. Readers should do their own research before making financial choices. FXStreet and its authors do not guarantee the accuracy or timeliness of the content and are not responsible for any errors or losses. As we approach the Federal Reserve meeting on December 10th, the market largely expects a rate cut. However, the real concern for traders lies in the updated dot plot and future guidance. Any indication of a “one and done” policy could lead to sudden market shifts. Thus, buying short-term volatility through options on SPX or VIX futures is a wise way to prepare for unexpected changes.

The US Dollar and Hedging Strategies

The weakness of the US Dollar is a key trend, driving pairs like EUR/USD higher. However, this trend has become crowded, making it susceptible to a sharp reversal if the Fed takes a hawkish stance. Consider hedging long forex positions by buying out-of-the-money put options on pairs such as EUR/USD for affordable protection against an unexpected dollar increase. Gold remains strong at $4,200 per ounce, a level that seemed far off after it first surpassed $2,400 in spring 2024. With so much optimism, holding long futures carries considerable risk. A smarter strategy would be to use bull call spreads, which limit potential gains but lower entry costs and define risk if the Fed’s remarks disappoint gold bulls. In cryptocurrency, Bitcoin is solidifying above $91,000 after a big surge linked to the ETF approvals of 2024. Implied volatility for options due after the Fed meeting is high, showing market uncertainty. We can capitalize on this by selling covered calls on existing Bitcoin holdings to earn income from higher premiums. The recent inflation data from Colombia shows a drop to 5.3%, highlighting the global trend of disinflation that has emerged since rates peaked in 2023, when Colombian inflation was above 10%. This improves the outlook for emerging market currencies burdened by high inflation, making futures on the Colombian peso increasingly appealing against the dollar. Create your live VT Markets account and start trading now.

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Colombia’s Consumer Price Index (CPI) for November increased by 0.07% compared to the previous month, which was lower than the anticipated 0.2% rise. The FXStreet team shared additional market insights. The EUR/USD pair dropped to around 1.1630 due to a slight uptick in the US Dollar.

GBP/USD Pair’s Movement

The GBP/USD pair fell to 1.3320 after a brief rise in the US Dollar. Gold prices returned to $4,200 per troy ounce, prompted by a rise in US Treasury yields. Bitcoin held steady above $91,000, with Ethereum also staying above $3,100. Both cryptocurrencies seemed optimistic ahead of the Federal Reserve’s upcoming meeting. Ripple’s price fell for a second day, trading at $2.06, despite ongoing interest in XRP spot ETFs. The article also noted upcoming monetary policy meetings from major banks such as the RBA, BoC, and SNB. Looking to 2025, traders may want to choose brokers based on low spreads, leverage options, and trading platforms. The insights shared by FXStreet are general market updates, not specific investment advice.

The Federal Reserve’s Influence on Markets

With the Federal Reserve meeting on December 10, the market is largely expecting a rate cut. This indicates that conventional long positions are crowded. Traders may want to explore options strategies that could profit from increased volatility if the Fed’s guidance is less dovish than anticipated. Historically, markets can react negatively to a “hawkish cut,” as seen in late 2018 when a cautious outlook accompanied a rate cut. We expect the US Dollar to remain weak if the Fed delivers the anticipated dovish message. The U.S. Dollar Index (DXY) has already fallen over 5% in the last quarter, supporting the idea of holding call options on gold, which is currently above $4,200 an ounce. Given gold’s impressive 18% rally in 2025, purchasing some protective puts could be a smart strategy to guard against a sudden reversal due to a hawkish surprise. The lower-than-expected inflation in Colombia is an important local factor that aligns with the global trend of disinflation. This 0.07% reading puts pressure on Banco de la República to consider rate cuts in early 2026, which would likely weaken the Colombian Peso. We anticipate traders to begin preparing for this by buying call options on the USD/COP pair. Overall, this risk-on sentiment is boosting equities and cryptocurrencies. Bitcoin’s recent rise above $90,000 shows the market’s strong response to liquidity expectations. The drop in US PCE inflation data reinforces hopes for rate cuts, making call options on the Dow Jones an attractive strategy. We believe this momentum will carry into the Fed’s announcement next week. Create your live VT Markets account and start trading now.

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**EUR/USD Faces Downward Momentum** The EUR/USD pair is expected to gain 0.39% this week, hitting a ceiling at 1.1650, as traders look ahead to the Federal Reserve’s next steps. Recent economic data boosted the US Dollar, reducing its earlier drop against the Euro. US inflation figures matched expectations, and consumer sentiment improved, according to the University of Michigan. In the Eurozone, growth exceeded predictions, though ECB’s Villeroy warned about inflation risks. The ongoing Russia-Ukraine conflict continues to put pressure on the Euro, despite some progress in negotiations among major powers. The US Core PCE Price Index, a crucial measure of inflation, rose by 0.2% in September, aligning with forecasts. Yearly Core PCE dipped from 2.9% to 2.8%. Consumer sentiment in December improved, with the University of Michigan index increasing to 53.3. Inflation expectations have eased, which may calm long-term price worries. Market expectations for a Fed rate cut remain at 84%. The US Dollar Index fell slightly by 0.09% to 98.98. The EUR/USD stays around 1.1650 but may test lower levels. It risks bearish momentum, aiming for key moving averages near 1.1600 and possibly dropping to 1.1500. **A Shift in Policy Divergence** Today, December 6, 2025, presents a very different situation compared to when the euro was consolidating at 1.1650. The European Central Bank’s concerns about inflation risks, which were minor issues then, have now come to fruition. Eurozone inflation has declined steadily, with the latest Eurostat figures showing a headline rate of 2.2% for 2025, keeping the ECB in a dovish position. The gap in policy between central banks is now more pronounced and is driving the currency pair’s movements. While the markets were anticipating Federal Reserve rate cuts in the past, the Fed has remained cautious as the US Core PCE has been stubborn, recently nearing the 2.1% forecast for 2025. This has kept the US dollar strong, pushing the EUR/USD down to around 1.0850. For traders focusing on derivatives, selling rallies in the EUR/USD is still the favored strategy. We suggest that buying put options or implementing bear put spreads is a smart way to prepare for further decline or stabilization at these lower levels. Targeting strikes below 1.0800 in the coming weeks seems sensible given the weak European growth outlook, projected by the IMF at just 1.2% for this year. Implied volatility is also much lower now compared to the aggressive rate-hike periods seen a couple of years ago. This makes long options strategies, such as purchasing puts, more affordable for traders looking to express a directional viewpoint. The current market environment does not indicate sharp, unexpected movements, making it a good time to buy options without incurring hefty time premiums. The ongoing geopolitical risks from the conflict in Ukraine, which were present previously, continue to limit the Euro’s potential. This ongoing challenge for the European economy supports strategies that take advantage of a stagnant or declining EUR/USD. We see continued opportunities in selling out-of-the-money call options to collect premiums, benefiting from the pair’s struggle to maintain any significant upward momentum. Create your live VT Markets account and start trading now.

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The United States Commodity Futures Trading Commission (CFTC) has reported a significant increase in net gold positions, rising to $2.047 million from just $176.6 thousand. This jump shows that more market participants are interested in gold as they consider various economic factors. The EUR/USD pair is currently stable at 1.1650 amid concerns about U.S. inflation and risks related to the European Central Bank. In Canada, the dollar has strengthened recently due to a positive labor report. The Dow Jones Industrial Average has shown slight gains as the PCE inflation data suggests the Federal Reserve may cut interest rates. Gold has experienced fluctuations, reaching $4,200 as traders anticipate upcoming Fed decisions. In the cryptocurrency market, optimism surrounds potential Fed policy changes. Bitcoin remains above $91,000, and Ethereum is over $3,100. The market is keenly awaiting the Fed’s decision on interest rates, which will influence risk sentiments and trading strategies for the coming week. Ripple is still under pressure, trading at $2.06, despite consistent investments in related exchange-traded funds. Analysts expect little surprise from the upcoming meetings of the Reserve Bank of Australia, the Bank of Canada, and the Swiss National Bank. With non-commercial long positions in gold skyrocketing from $176.6K to over $2,047K, it’s evident that speculation is extremely high. This change indicates that major traders are betting heavily on rising gold prices, serving as a key indicator of market sentiment as we move forward. The main factor driving this is the widespread anticipation of a Federal Reserve rate cut in the meeting on December 10th. Recent Core PCE inflation figures, which fell to 2.5% for October 2025, bolster the argument for the Fed to ease policy. According to current futures data, there’s a 92% chance of at least a 25-basis point cut, marking a clear policy shift. This scenario feels reminiscent of late 2023 when the market’s expectations for the Fed’s pivot from rate hikes led to a significant rally in precious metals and equities. That period illustrated the power of anticipating a policy change, and the current gold price being above $4,200 per ounce suggests this trend may be repeating. As a result, the U.S. Dollar is struggling to find strong bids, while other currencies, like the British Pound, have pulled back from recent highs. A weaker dollar makes gold more affordable for international buyers, providing further support for the metal. Traders in derivatives should prepare for continued dollar weakness as long as the market expects a dovish Fed. Given the high expectations, implied volatility on gold options has likely increased, making long calls costly. Traders might want to consider using call spreads to manage risk and lower entry costs. This approach allows participation in potential upside while providing protection against sudden changes or volatility drops after the Fed’s announcement. However, the main risk is a hawkish surprise from the Fed on December 10th. If they maintain rates or suggest that cuts are further away than expected, the crowded long gold trade could suffer significantly. Thus, any bullish derivative position must be structured to handle or limit losses from such a scenario.

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Japanese yen non-commercial net positions have significantly increased, jumping from ¥70.4k to ¥681k. This major shift shows a big change in the market. Around the world, currency movements are varied. The EUR/USD trades at 1.1650, affected by US inflation and risks from the European Central Bank (ECB). Meanwhile, the Canadian dollar gains strength after a positive labor report.

Market Dynamics

The Dow Jones Industrial Average is rising as PCE inflation cools, raising hopes for an interest rate cut. Gold remains stable at $4,200 as investors anticipate changes in Federal Reserve policies. Other currency forecasts show the AUD/USD aiming for a year-to-date high. Gold has fluctuated, pulling back from earlier highs as the US dollar gains strength due to steady PCE data. Recent market analyses suggest different strategies for traders in various regions. Cost-sensitive traders should look for brokers with low spreads, while those wanting more exposure might consider high leverage options. Many resources and tips are available for traders focused on specific currencies and trading platforms. Those looking to trade in Mena, Latam, or Indonesia can find insights on the pros and cons of brokers in these areas.

Financial Strategies

The sharp rise in speculative long positions on the Japanese Yen, from ¥70.4K to ¥681K, is our main focus right now. This is the largest influx we’ve seen since the volatility of early 2016, suggesting a crowded trade betting on Yen strength. We should prepare for a lower USD/JPY but remain cautious about a possible sharp reversal if sentiment changes. Everything depends on the Federal Reserve’s upcoming decision, with market anticipation for a rate cut growing. The recent core PCE inflation data showed a cooling rate of 2.1% year-over-year, solidifying expectations for a more accommodating Fed. Derivative strategies should lean towards continued weakness of the U.S. dollar against most major currencies leading up to the announcement. Gold’s stability at $4,200 reflects hopes for a rate cut, which reduces the cost of holding this non-yielding asset. This rally is similar to the aftermath of the 2008 financial crisis when loose monetary policies pushed gold to new heights. We should consider long positions in gold, as a confirmed dovish shift from the Fed could drive prices even higher. Commodity currencies show fundamental strength that traders should take into account. The Canadian dollar is rising after last week’s labor report indicated the economy created 95,000 jobs, far surpassing expectations. At the same time, the Australian dollar is nearing year-to-date highs, buoyed by positive market sentiment and solid iron ore prices. Given the crowded long Yen trade, options may be a smart way to gain exposure. Buying puts on USD/JPY or using put spreads could allow participation in the expected decline while managing risk effectively. We must be careful, as any surprising hawkish comments from the Fed could lead to a quick short squeeze, rapidly reversing these significant speculative positions. Create your live VT Markets account and start trading now.

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Focus on EUR/USD Consolidation

Market discussions are centered on the EUR/USD pair holding steady at 1.1650 amid concerns over US inflation and ECB policy risks. In Canada, the dollar has strengthened thanks to a positive labor report. Meanwhile, the Dow Jones has risen as PCE inflation eased, hinting at possible interest rate cuts. Gold prices remain strong at $4,200, fueled by expectations of rate reductions from the Federal Reserve. The AUD/USD forecast suggests potential gains following a breakout from its trading range. Bitcoin, Ethereum, and XRP continue to see price fluctuations even as hopes rise for Federal Reserve interest rate cuts. Gold adjusted its gains due to stable US PCE data and a strengthening US dollar.

Potential Rate Cuts and Market Shocks

All eyes are on potential rate cuts or market surprises as the Federal Reserve prepares to make its decision. Traders are particularly focused on movements in the contract-for-difference market. Resources for finding the best brokers for 2025 are available, including those with low spreads and specific currency pairs. A significant shift in sentiment against the British Pound is underway, with large speculators increasing their net short positions from just £16.8K to £203K. This shift shows that hedge funds and major traders expect further declines in Sterling value. For those trading derivatives, this rise in bearish positions signals an opportunity to reassess strategies that capitalize on a falling GBP. This negative sentiment is backed by recent domestic data. The Office for National Statistics (ONS) confirmed just last week that the UK economy shrank by 0.2% in the third quarter of 2025, contrary to expectations of slight growth. With inflation dropping to 2.1% in October, the Bank of England faces mounting pressure to cut interest rates in early 2026, likely weakening the currency. While there are rising hopes for a Federal Reserve rate cut in the US, the economic outlook in the UK appears more uncertain. The dollar is losing ground against commodity-linked currencies like the AUD and CAD, yet the Pound’s particular struggles make it notably weaker. This situation indicates that shorting GBP against a stronger currency could be a smart strategy. We haven’t witnessed such intense bearish sentiment towards the Sterling since the tumultuous period following the “mini-budget” crisis in late 2022. That time was characterized by extreme price fluctuations. The current spike in short positions might signal a return to higher volatility for GBP pairs, making options strategies like straddles appealing for those expecting significant price movements around upcoming central bank meetings. With a positive labor report from Canada and the Australian Dollar nearing its yearly high, traders should pay close attention to currency pairs. The economic landscape suggests potential weakness in GBP/AUD and GBP/CAD pairs. Trading derivatives on these crosses could provide clearer trends than GBP/USD, where both central banks are leaning towards more accommodating policies. Create your live VT Markets account and start trading now.

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