Even though we have been focusing on other assets and mostly on the currency market rather than any other market, the drama surrounding the prices for oil is still there and is not going anywhere. Right now we have to be aware of changes which are happening around the crude as the changes in the price for oil are going to lead to changes in performance of currency market for sure. For example, Trump’s recent claim that he is going to impose another round of sanctions on Russia, this time affecting Russian Nord Stream gas pipeline, sent oil prices flying higher and higher due to turbulence in other assets around commodity markets.
Of course this is going to be followed by increase in the value of CAD and USD alike. And that is going to suppress the growth for euro, pound, gold and yen. That is exactly why we are to watch the price for oil with more attention than we are used to do. After all – prices for oil are a great indicator to what is really happening in the world.
As you can see spikes and falls in the oil prices are leading to a lot of consequence. That is why even when you are not trading oil you are to use trading signals to make sure that you are seeing the while situation correctly.