Sluggish UK manufacturing output; long binary calls & EOD put spreads

Mark Carney speaks today who will provide a summary of the monetary policy outlook.

On the data front, manufacturing output MoM at -0.4% has disappointed the streets forecast at 0.1% that has not helped by export demand which still looks weaker.

While National Institute of Economic and Social Research is about to come up with GDP estimates which will have high impact on pounds.

Technical & Option Trade Tips: (EUR/GBP)

Midday-European trading session has been little bearish on the back of disappointing manufacturing output numbers. We see selling pressure on this pair as the stochastic and RSI suggesting overbought situation on daily charts after steep fall in early intraday sessions.

We recommend buying At-The-Money binary calls of EUR/GBP at current levels & ATM put spreads at the closing sessions as the daily charts suggests selling pressure.

We firmly believe house-money what binary options would derive can bring in investment for put spreads.

So, eventually shorts on every upswings should be the strategy.