If we had to buy one currency against the Dollar it would be the Pound as its economy remains the most solid outside of the US economy. In fact, UK unemployment overnight declined to 6% and more importantly wagegrowth rose. While seeing the lowest unemployment rate in 15-16 months isn’t a dramatic improvement, seeinganything positive from the UK economy in the wake of a massive July through October washout in the Poundcould mean a short covering rally is ahead. On the other hand the trend is clearly down in the Pound for now andtraders should consider the purchase of bull call spreads or out of the money calls instead of the purchase offutures.
