GBPUSD keeps being traded in the price range formed by two option barriers (1.6449 and 1.6327). Yesterday during the entire trading session the volatility of GBPUSD was fairly high due to an increase in the USA’s Initial and Continued Jobless Claims. The fact caused a mixed reaction in the markets and gave rise to the rumors that the Fed Res may continue the QE program. Obviously in this case the Fed Res will postpone another interest rate increase for an indefinite term. Another negative factor was a decline in the US Factory Orders.
Today all the major market participants will be focused on Non-Farm Payrolls, Unemployment Rate and Hourly Earnings (US). The preliminary Non-Farm Employment Change report, published by Automatic Data Processing Inc (ADP) earlier this week, should be paid attention to. It says that the amount of new jobs is only 38K against the expected amount of 180K. Obviously, almost nobody expects the Non-Farm Payrolls value to grow. However, let’s wait for the report and see.
The volatility of GBPUSD is recommended to buy for a very short-term with entering the trades right after the news releases.
Provided by the Department of Options,
