Trader's Edge: GBP Pre-BoE Meeting on August 2, 2018

  • 19 Jul 2018
  • Duration: 03:06

This edition of Trader’s Edge will focus on trading GBP futures and options, ahead of the next Bank of England (BOE) policy meeting August 2. Initial expectations for the meeting were a 25.0 bps rate hike, but recent economic indicators suggest a UK rate hike could be in question.

See how trading GBP options can help mitigate risk around the BOE meeting, including:

  • August monthly expires August 3, just in time to cover the announcement, but with lower premiums and higher gammas
  • Near historic lows in implied volatility
  • How long option positions can benefit from rising volatility
  • Trading an ATM straddle to take advantage of large price moves, regardless of direction