The day features various FX option expiries, influencing price movements for EUR/USD, USD/JPY, and USD/CHF.

by VT Markets
/
Feb 26, 2025

EUR/USD has key expiries at 1.0500 to 1.0530, with the pair approaching a potential breakout above 1.0500 this week. The 100-day moving average currently sits at 1.0537, providing additional resistance for buyers.

For USD/JPY, there is an expiry at 150.00, but the pair remains below its 100-hour moving average of 149.67 since the week began. If the pair rallies, the expiries may restrict movement in European morning trade.

Lastly, the expiry for USD/CHF is at 0.8955, with the pair aiming for a downside test of its 100-day moving average at 0.8901 following last week’s decline.

The mentioned levels are essential reference points that options traders will have in mind when positioning themselves. Expiry-related flows often generate temporary barriers, especially when spot prices approach them near the cut-off time.

For the euro against the dollar, the range between 1.0500 and 1.0530 holds weight this week. With the price drawing closer to a potential break above 1.0500, movement could become more unpredictable. The 100-day moving average, resting at 1.0537, presents an added obstacle. If the pair advances, that level might encourage some to offload positions, causing price hesitation. However, should it remain under pressure, sellers may attempt to reclaim control, preventing an extended rally.

The dollar-yen situation looks different. An expiry sits at 150.00, but prices have yet to reclaim the 100-hour moving average at 149.67 since Monday. If buyers push higher, the expiry level could slow further appreciation, particularly during European trading hours. On the other hand, if downward momentum builds before reaching that threshold, the path of least resistance may lean towards lower levels rather than a test of 150.00.

As for the Swiss franc pair, an expiry at 0.8955 is in focus. With the dollar slipping over the past week, attention is shifting towards support at the 100-day moving average, currently positioned at 0.8901. If bearish pressure continues, that level will become a testing ground. Those looking for a rebound may step in there, but failure to hold could encourage further selling interest.

Market participants will need to monitor how prices interact with these levels in the sessions ahead. Expiries can slow sharp moves, but they do not always dictate long-term direction. Trading activity near these thresholds deserves attention, especially if liquidity thins or broader technical patterns begin to shift.

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