US Markets

BUZZ-COMMENT-FX traders beware: some massive option expiries this week

Credit: REUTERS/Kai Pfaffenbach

FX option expiries and related delta hedging flows can influence FX price action, so it's worth knowing where the bigger strikes reside, and there are plenty this week.

Oct 26 (Reuters) - FX option expiries and related delta hedging flows can influence FX price action, so it's worth knowing where the bigger strikes reside, and there are plenty this week.

EUR/USD has 1 billion euros at 1.1835-40 Monday , 1.1 billion at 1.0800-05 Tuesday, 1.6 billion at 1.1800-05 and 1 billion at 1.1900 on Wednesday. Friday sees 1.4 billion euros at 1.1800, 1.2 billion at 1.1850, and 1.6 billion at 1.1950.

EUR/SEK sees 2.2 billion euros at 10.40 strikes on Wednesday.

USD/JPY has $918 million at 105.00 and 1.3 billion at 105.30-35 Monday , Tuesday has $1 billion at 104.25, 1.5 billion at 105.00, and 1 billion at 105.25. Wednesday has $2.5 billion at 104.90-105.00, and Friday 1.8 billion at 104.50 and 2 billion between 104.85-105.00.

GBP/USD stand-out strike this week are 529 billion pounds at 1.31 on Wednesday. EUR/GBP has 565 million euros at 0.9100 Monday, 900 million at 0.9135-45 on Tuesday, 800 million at 0.9085-0.9100 Wednesday, 840 million at 0.9050 and 622 million at 0.9110 Thursday.

AUD/USD's biggest FX option expiry this week is Monday at 0.7100 on A$667 million, while Friday has 582 million at 0.7180 and 631 million at 0.7200. AUD/NZD has A$650 million at 1.0695-1.0700 and 1.2 billion at 1.0750 on Friday.

AUD/JPY has A$1 billion at 73.20 and 2.5 billion at 76.35-40 on Thursday, 601 million at 76.75 and A$1.1 billion at 77.45 on Friday.

USD/CAD's biggest strikes are Thursday between 1.3175-1.3200 on $1 billion and Friday at 1.3150 on $1 billion.

For more click on FXBUZ

(Richard Pace is a Reuters market analyst. The views expressed are his own)

((Richard.Pace@thomsonreuters.com))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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