The British Pound Hit a New Low and It’s Time to Make Money from It!
When the British decided to withdraw from the European Union, a lot of things started to happen, and they started to happen quickly.
One of the most notable downsides of their decision is the decreasing value of the British pound. Within moments of Britain deciding to withdraw from the European Union, the British pound started to fall. Within two weeks, it was hitting record lows in recent times, and it is expected to continue dropping in value.
While this may seem like a nightmare to many, it can actually prove to be very beneficial to some. The falling value of the British pound could actually turn out to be an excellent opportunity to make – and save – some money! Here’s how.
Investing in Binary Trading Options
Binary options are based on a very simple concept: A yes or no proposition. Will an underlying asset be above a certain price at a certain time? When a trader places trades that are based on whether they believe the answer is yes or no, and they are right, they stand to make a substantial amount of money.
Here’s a simple example of how binary options trading works.
If you think that the value of sterling will be higher by noon today than it is right now, then you buy the binary option; however, if you think that it won’t be, you sell the option.
Being that the value of the pound is decreasing, those who invest in this type of trading stand to make a great deal of money. Why? – Since it looks like the value of the pound looks like it will continue to decrease in the near term, many traders are predicting that it will fall below a certain value by a given date. If when they close their position the prediction is correct, they stand to make a pretty decent profit!
You might also feel that in the longer term sterling simply has to rise above its current levels. If you think this way, then you could also use binary options trading as a way to make money from this prediction too.
Traveling will be Less Expensive
If you aren’t into trading, you can still take advantage of the falling British pound. Plan a trip to Britain! The price of an airfare is expected to decrease, which means that it will be cheaper than it has been in a long time to travel to the country! You can also expect to pay less on things like lodging and food, as you will get a lot more bang for your buck when you exchange your currency! Talk about a great time to travel!
So if you want to take advantage of the current slide in the value of sterling then here we’ve discussed two possible ways you could do so. Firstly, you could try and make some money by trading the currency and you could also take advantage of some cheaper travel options. If you want to know more about how the falling value of sterling could affect your pocket, then take a few moments to read this five minute guide to the falling value of the pound.