The first working day of 2017 was optimistic.
However, because of closed the UK and the US markets, the pair GBP/USD showed a decline. However, the Cable experienced increasing pressure from the US political factors.
Today during the Asian session the pair GBP/USD slightly adjusted due to the new portion of the positive statistics from China.
In China, the Caixin Manufacturing PMI rose from 50.9 to 51.9. In December the UK Manufacturing PMI declined from 53.4 to 53.3.
Today the US indicators are expected to be positive: ISM Manufacturing PMI is expected to grow from 53.2 to 53.5. On the eve of Friday's data on NFP, the investors will pay attention to the ISM Manufacturing Employment, which is projected to increase from 52.3 to 52.6.
We expect the pair GBP/USD will complete the correction after the release of the positive US data.
How to trade binary
During today's Asian session the British pound rose slightly against the US dollar. The buyers are limited by the intermediate resistance level of 1.2322. Its new test will lead to the breakdown and moving to 1.2345. The sellers expect to return to 1.2280, as the retest of this level would lead to a reduction in the area of 1.2253. We would buy Put options if the pair GBP/USD falls below 1.2280. This scenario would be invalidated if the pair goes above 1.2322, in which case we would go for Call option with the end of the expiry.
Target price: 1.2280
Expiry time: 21:00 GMT