Friday's US data slightly disappointed
The GDP for the 4th quarter went even worse than the forecast, 1.9% against 2.1%. In December, the durable goods orders fell by another 0.4% after -4.6% in November, the forecast was 2.6%. The core durable goods orders gained the expected 0.5%. The consumer confidence increased from 98.1 to 98.5.
We believe that the GDP will continue to be revised in a big way
This week, the US economic data is expected to be good. Probably, on Friday investors focused on the optimistic developments. Today, the personal income is expected at 0.4% after the previous 0.0%. The personal spending is expected to increase from 0.2% to 0.5%. The pending home sales are expected to increase by 1.1% after a reduction of 2.5% a month earlier.
How to trade binary
During today's Asian session, the British Pound strengthened against the US dollar, but then began to decline gradually. The buyers expect to re-return to the area of 1.2595, a break of which will lead to new highs in the 1.2634 area. The sellers are focused on the support level 1.2542, the break of which will lead to a test of 1.2495.
We would buy Put options if the price goes below 1.2542. This scenario would be invalidated if the pair goes above 1.2595, in which case we would go for Call option with the end of the expiry.
Target price: 1.2542
Expiry time: 21:00 GMT