Taking a look at 1-week implied volatility for major dollar pairs, we can see a bit of a spike now as traders are putting plenty of attention to the major central bank policy decisions next week. The Fed will kick things off before the BOE and ECB chime in and then we even have US non-farm payrolls to round it all off on Friday.


It is little wonder why markets are looking fairly apprehensive in trading this week, as traders are pinning next week as a big one to influence volatility and offer them something to work with in the aftermath.