While the market has continues its move higher since the start of 2015, we seem to have reached a plateau for the moment. The outlook however continues to look bright as global economies improve and the numbers of new jobs added is largely increasing. Some of the most recent economic data may suggest otherwise, but we see this as only a temporary glitch.

The US and UK look to be in healthier shape than they were three months ago. And while concerns persist over the situation in the euro zone and Japan, easier monetary conditions should support confidence in both cases. Indeed, no fewer than 18 central banks around the world have already eased monetary conditions this year as policymakers look to take advantage of tumbling inflation, aided by plunging oil prices to bolster economic growth.

The main topic of interest for traders and investors will be around the EUR/USD. With the drastic +40% swing experienced over the last few months this trend looks set to continue. The dollar should continue to rally given that the US Federal Reserve (Fed) alone among the world’s leading central banks, looks to be poised to hike rates in coming months. Closer to home the ECB have just taken the first steps down QE avenue and continued depreciation of the single currency is almost guaranteed.