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GBP/USD Trading - US ISM non-manufacturing PMI- 5 Dec 2016

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GBP/USD chart 5 Dec 2016
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Despite the strong US data, the British pound gained 135 points on Friday

In the US, the non-farm payrolls showed an increase by 178K in November, which is above the average expectations of 175K. The unemployment rate fell from 4.9% to just 4.6%. The stock indexes have shown a symbolic growth, but they are already under the pressure of expectations of the rate hike.

Today, the US data will determine the direction of the pair GBP/USD

The Markit Composite PMI is expected from 54.7 to 54.9 in November. The national ISM Non-Manufacturing PMI is expected to rise from 54.8 to 55.3.

In the evening, the Fed FOMC member William Dudley speaks on the monetary policy. Later, James Bullard will have a speech about the economic outlook.

The British pound can lose its support. In November the Services PMI is forecasted at 54.1 against 54.5 in October.

How to trade binary

The pair GBP/UD has the key levels on the 1H chart: 1.2726, 1.2631, 1.2593. We continue to monitor the rising structure of 18 November. The continuation of upward movement is possible after the break of 1.2730. The short-term downward movement is possible after the breakdown of 1.2630.

We would buy Put options if the pair GBP/USD declines below 1.2630.

Asset: GBP/USD
Direction: Put
Target price: 1.2630
Expiry time: 21:00 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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