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GBP/USD Trading - ADP non-farm employment change - 31 Aug 2016

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GBP/USD Trading - ADP non-farm employment change - 31 Aug 2016
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Yesterday the pair GBP/USD was traded in a narrow range.

The UK lending data seemed worse than expected. In July the number of mortgage approvals fell from 64K to 61K. The net lending to individuals amounted to 3.8 billion pounds against 5.1 billion in the previous month.

The US consumer confidence index from the Conference Board rose from 96.7 to 101.1.

Today the US will present data on non-farm employment change from ADP. In August it’s forecasted at 175K vs. 179K that, by analogy with the previous month can talk about the strong NFP which will be published on Friday.

However, Chicago PMI is forecasted to decrease from 55.8 to 54.0 in August. The pending home sales are expected to grow by 0.6-0.7% in July.

We do not rule out the short-term growth of the pair GBP/USD at 1.3140 area and next its reversal to continue descending.

How to trade binary

We would buy put options if the pair GBP/USD falls below 1.3053. We would buy call options if the pair GBP/USD rises above 1.3140.

Expiry time: 20:00 GMT

Disclaimer: The article is written for informative purposes only and it is not financial advice. The author does not have any position in the currency pairs mentioned, and no plans to initiate a position. He wrote the article himself and expressed his own opinions. He has no business nor personal relationships with any mentioned government entities or stocks. Readers should not treat any opinion expressed by the author as a specific inducement to make a particular trade or follow a particular strategy, but only as an expression of his opinion.

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