Sorry, you need to enable JavaScript to visit this website.

GBP/USD trading - US non-farm payrolls - 10 Mar 2017

You are here

GBP/USD trading chart 10 Mar 2017
5/5 of 4 ratings

The pair GBP/USD awaiting the NFP data

Yesterday, the pair GBP/USD was traded in the range of 1.2148 - 1.2186. The pair was traded under the influence of the speech of ECB head Mario Draghi and in anticipation of today's data on non-farm payrolls.

Today, British data is expected to be weak

In the UK, the trade balance is expected to be -11.1 billion pounds in January against -10.9 billion in December. The trade balance without taking into account the EU countries is expected to be -2.5 billion pounds against -2.1 billion in the previous period. The industrial production could fall by 0.4%. The manufacturing production can be reduced by -0.6%. The construction output is expected to decline by -0.2%.

The key data of the day will come out in the American session. In February, the non-farm payrolls are expected to be 190K. The unemployment rate is expected to be 4.7% compared to 4.8% a month ago. The average hourly earnings can increase by 0.3%. The Federal budget balance is expected at -150 billion dollars against the surplus of 51.3 billion dollars in January.

How we trade binary

We would buy Call options in the case of forming a false breakdown in the area of 1.2141, on which very much depends today. In the case of a breakdown of this level, it is possible to return to Call options only after the reduction to the support area of 1.2093. The bulls can also try to break above 1.2190. We also advise you to buy Put options after a real breakdown of the 1.2141 and fixing below.

We would buy Put options if the pair GBP/USD goes below 1.2140. This scenario would be invalidated if the pair forms the false breakdown and go to the 1.2190 in which case we would go for Call options with the end of the expiry.

Asset: GBP/USD
Direction: Put
Target price: 1.2140
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.

You may also read