- - - - Multiple Sideshows - - - -
The multiple sideshows run by the Conservative Party, Labour Party, Scottish National Party and EU will only add to the uncertainty and prolong the volatile markets that so many investors like. Also see
the UK has no Plan B (and there was no Plan A either).
Trading re-opened at 10pm last night (Sunday, 26 June) and we have seen quick moves in both
EUR/GBP and GBP/USD.
Sterling already has lost another 4.5 cents.
GBP/USD is trading down at $1.323.
The euro has already gained 2 cents versus the pound. EUR/GBP is trading higher at 0.833.
- - - - FTSE 100 Supported by Weak Pound - - - -
FTSE 100 Futures opened nearly 50 points (0.8%) down at 5955.
However, the index has already recovered and is trading 50 points up on Friday's close. It's currently around the 6060 mark.
The 'strength' we are seeing in the FTSE 100 is probably due to the weak pound.
- - - - Traders Beware: Big Cats Bouncing - - - -
Market swings remain quick and sizable.
Investors should not assume it's one way traffic.
There will be plenty of retracements and dead cat bounces to catch out anyone not on their toes.
These quick moves are the sort than can panic investors into making poor decisions.
If you are trading, then using smaller trade sizes than usual can help take the pressure off (even if it doesn't, it will reduce your risk).
The information and comments provided herein under no circumstances are to be considered an offer or solicitation to invest and nothing herein should be construed as investment advice. The information provided is believed to be accurate at the date the information is produced.
By Adam Jepsen, 27 June 2016
