GBP/USD has no barriers to decline
Yesterday the pair GB /USD lost 70 pips. Toda, during the Asian trading session the pair has accelerated the fall. It worth to say the decline intensified after the release of weak the US retail sales data.
Now the pair GBP/USD has no barriers to falling in the area of 1.3700 or lower. In the US, retail sales excluding cars fell by 0.2% against the forecast of growth by 0.4%. The US Department of Energy reported a growth of crude oil inventories at 6.63 million barrels against the forecast of 1.85 million.
Today the Bank of England will announce rate decision and publishes the minutes of the meeting. No changes are expected. The US labor market data and CPI may show growth.
How to trade
We are waiting for a decrease of the pair GBP/USD to 1.4067. We would buy PUT options if the pair falls below 1.4110.
Target price: 1.4110
Close price: 1.4151
Expiry time: 20:00 GMT