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Looking at the upcoming session for Thursday, without a doubt the largest announcement will be the ECB interest rate decision. It’s not just the decision but the statement that will move the markets, as we expect no change. However, comments of course can move the marketplace and therefore we feel the Euro will be in focus.

1 – The EUR/USD pair has shown quite a bit of volatility lately, at least until the last couple of sessions. We believe that the Euro will move drastically during the session, and as a result continue the uptrend overall against most other currencies. However, keep in mind that a knee-jerk reaction could happen immediately after the statement, so if the value the Euro continues to fall against most other currencies, you need to start looking for support in order to take advantage of value via calls.

2 – Precious metals should continue to strengthen as soon as they find a little bit of support just below. Precious metals do look like they are trying to change the overall trend, but anytime you do that, you’re going to have a lot of messy trading. That is essentially will we feel is going on right now. We still our longer-term optimists when it comes to gold and silver.

3 – European indices should continue to go higher, and at this point time we look at pullbacks as value that we can take advantage of by going long via calls. We have no interest in buying puts in the European indices, and do believe that they offer value going forward.