We open Buy positions for two reasons. Firstly, the UK National Statistics Office published a release on the labor market today, where it reported an increase in average earnings in May by 7.3%, which exceeded market’s expectations. Population income growth will have a positive influence on the growth of the British GDP.

Secondly, the US Federal Reserve today will increase the volume of asset repurchases under the QE program by 8 times, which may have a negative influence on the dollar exchange rate. The Federal Reserve will buy short-term Treasury bonds today, which will increase the reserves of American banks. Against this background, bankers will build up “longs” on risky assets, which is negative for the American currency rate.

Trading recommendation: Buy 1.3830/1.3802 and take profit 1.3900.