Yesterday, the British pound weakened against the US dollar. But today during the Asian session it could recover.
Today, the pressure on the British currency may continue due to the expected deterioration in mortgage lending. The number of mortgage approvals can decrease from 67.04K to 65.65K.
Today the US will publish GDP data for the 2nd quarter.
The forecast on the 1st preliminary estimates is 2.6%. The Michigan consumer sentiment is projected to increase to 90.2 against 89.5 in June. However, Chicago PMI is expected to descend from 56.8 to 54.3.
As a result, we expect the Cable in the 1.3100 area.
How to trade
We would buy put options if the pair falls below 1.3160.
Target price: 1.3160
Expiry time: 20:00