Here we try to cover the key events coming this week which are highly expected to move the markets and bring opportunities depending on the trading news strategies.
We select from Thursday’s economic calendar – BOE rate decisions, which will be the main mover this day despite it is highly expected that the central bank will not touch interest rates in April. But to increase APF size or not might be the most pressing question at the upcoming meeting.
The BOE will be on focus amid ongoing forecasts that the central bank may hold the dovish tone, which speculates further stimulus measures, setting aside inflation concerns, which already declined. Especially after the final reading of UK Q4 showed unexpectedly a stronger contraction than previously estimated at -0.3%. The trading opportunity will occur if the new members opted to expand the Asset Purchase Target, known as quantitative easing or QE. In addition to the current supporter member (David Miles), who already asked for a lift last month. This is likely to spark a bearish reaction on the pound and we may put the option immediately on GBP/USD. On the other hand, if the BoE talked about the success or effectiveness of its latest QE expansion or tended to confirm a picture of moderate underlying growth, this would trigger a good opportunity for Pound to rally . Thus, we may Call the option on the mentioned pair.
Important to note that the voting results and the minutes statement often published two weeks after the rate decision but we may get hints mentioned above from a potential press conference or comments following the meeting.
Release schedule : 11:00 GMT
Source of report : Bank of England Monetary Policy Committee
Address of release : http://www.bankofengland.co.uk/monetarypolicy/decisions.htm