Insight: Correlations Dictates Price Action Activity

There are certain external & influential factors brewing in the pipeline that a spill over to the financial markets can not be ignored. Although, this week's US milder economic data is squarely not as significant as the stock market have remained in a positive tone worldwide after some relief from the Ukrainian crisis post election have provided jittery investors to view these outcomes with ease on top of President Valdimir Putin's remarks in reaching out to the newly elected government in Ukraine.

This civil approach has been timed appropriately and has been factored in the market prices across the broader market. Correlations between Equities, commodities and the financial market would essentially move with ease without the pressure of outside geo-political skirmishes that had been providing underlying market volatility across the three major markets.

However, in the recent newswires, the crucial effects on the likes of IBM & Cisco in particular may take a serious toll on its business relationship with China due to the latest Cyber Business espionage called by the US government. And may add to some market uncertainty moving forward. Click here