GBP/USD: buying the pound is this week's best trade, here's why (Credit Suisse)

Credit Suisse believes that buying GBP/USD is a good trading opportunity this week.

"Forex traders should think of buying GBP/USD this week. With a fairly light US calendar this week, we believe that the GBP has the highest upside among the G10 currencies against the USD.

First, the market is just beginning to realise that UK data may not be much worse than expected. This leads directly to the second point, the positioning of the market is still extremely short. Finally, while the US NFP reports were not particularly bad, slower wage growth and lower hours worked (in combination with other weak data like the ISM and political risks) should keep the Fed on alert in September."