Share Trading

Last night the Dow recovered off the lows, but has struggled for most of the week. As has the FTSE 100.

In the spread trading markets the dollar is holding firm against the pound and euro, but making reasonable gains against the Swiss franc and yen.

In general, the dominant trend in the forex spread trading arena is of yen weakness, best seen in the EUR/JPY and GBP/JPY which are up by 0.27%.

Non Farm payrolls are released at 13.30 with analysts expecting another month of net job losses at -63K. The unemployment rate is also expected to rise to 9.6%.

By contrast, the States’ Northern neighbour Canada is expected to show another month of job increases, with the unemployment rate remaining unchanged. Canadian employment data is released at 12.00.

Prior to this we have important UK data in the form of manufacturing input and PPI output.

Overall though it is the US Non Farm Payrolls which will set the tone today and markets are likely to be quiet until the numbers are out.

A popular strategy is to fade (predict a reversal) any major moves on a NFP day over the next week, so keep your eye out for a big reaction today for ideas for next week’s trades.

CFDs, FX and Spread Trading are leveraged products and carry a high level of risk to your capital. It is possible to lose more than your initial investment. These products may not be suitable for all investors, therefore ensure you understand the risks involved and seek independent advice if necessary.

Tax treatment depends on the individual circumstances of each client and may be subject to change in the future.

This material should not be construed in any circumstances as a recommendation or offer to sell or recommendation or solicitation of any offer to buy any security or other financial instrument

The material is not a personal recommendation and you should seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks if you are at all unsure, as well as confirming the legal, tax and accounting characteristics and consequences of any transaction.