The pair once again being impacted by large option expiry interest 15 March
Early lows of 105.78 Asia found good dip demand with option interest at 106.00 (likely demand given recent price range) combining with general USD buying has seen it hold around the level for a while now.
Always two sides to option contracts so we won't expect it to drift too much higher as the clock ticks down to 14.00 GMT. The very large interest at 106.95 which we've been reporting has already done its job to help keep the pair capped this week.
USDJPY 15m
Other interest of note today as I noted earlier and also impacting:
- EURUSD: 1.2300 (1.5bln) 1.2330 (530m) 1.2350 (890m) 1.2400-10 (1.7bln)
- GBPUSD: 1.3850 (540m) 1.3900 (600m) 1.4000 (480m)
More tomorrow;
- EURUSD 1.2300 EUR 2.5bn 1.2350 1.3bn
- AUDUSD 0.7940 AUD 1.1bn
For those who still don't believe I will refer you to yesterday's AUDUSD rally through 0.7900 and subsequent retreat which I warned of at the time here.
Remember these are vanilla options and in play right up until expiry even if breached in the meantime unlike barrier options which cease to be once broken. Barrier Options still live:
- EURUSD 1.2600
- USDJPY 105.00 104.00
For more info on how to use this all data, please refer to my post here.
