Massive Gaps In The Market Today – What’s The Story?
Arslan Butt • 1 min read
The global financial markets shocked when the markets opened with huge gaps in almost all the trading instruments. Are you are wondering what caused these gaps? If yes, then here is an answer…
ABC News & Investors Reaction
Everything was going so well until the ABC News agency published that Trump may have been reaching the Russians whilst he was still a nominee. The news spread like wildfire in the global markets and everyone reacted to price in the news.
A few hours later, the ABC News renounced the news and said President Trump remained in touch “during the transition” rather than when he was a civilian.
Here comes the most interesting part. By the time news came out, the markets were already closed. Investors were not able to "price in" the fresh information. Therefore, the investors bought dollar as soon as the markets opened today. The massive demand for dollar and indices caused bullish gaps.
Anyhow, these gaps are likely to get filled may be today, tomorrow or later this week. So, if you are stuck in any trade just keep patience and wait for the retracements in the dollar. Stay tuned for more updates as we are always there to update you. See you soon!