FxWirePro: AUD/USD bearish neutral risk reversals and 1m skews indicate bearish risks, Tepid IVs signal theta shorts in PRBS ahead of Fed

Dec 07, 2017 10:03 am UTC| Research & Analysis Insights & Views

OTC outlook and options strategy: Please be noted that the positively skewed IVs of 1m tenors signify the hedgers interests to bid OTM put strikes upto 0.7425 levels (refer above diagram). While bearish neutral delta...

FxWirePro: Deploy short hedges on narrowed Aussie trade surplus

Dec 07, 2017 08:35 am UTC| Research & Analysis Insights & Views

Australias trade surplus narrowed 93 percent to AUD 0.1 billion in October of 2017 from a downwardly revised AUD 1.60 billion in the prior month and way below market expectations of AUD 1.4 billion. It was the smallest...

FxWirePro: BTC skyrockets the pace on the brink of derivatives market developments

Dec 07, 2017 07:47 am UTC| Digital Currency Research & Analysis Insights & Views

Lets just know as to how the Bitcoin price (or any other cryptocurrencies) seems to have exceeded the expectations briefly for the first time in this week before we proceed further with why it has shown such a movement;...

FxWirePro: AUD/USD continues bearish streaks after shooting stars, major trend back in action – Tunnel spreads to trade and short hedge

Dec 07, 2017 06:43 am UTC| Technicals Insights & Views

Shooting stars have occurred at 0.7602 and 0.7606 levels. Consequently, the prices have begun plummeting. For now, the current prices well below DMAs, bearish DMA crossover signals extension of dips, dont expect sharp...

FxWirePro: Wise to buy straddles Euro rates on hedging grounds

Dec 06, 2017 12:36 pm UTC| Research & Analysis Insights & Views

Demand/Supply equation: On the demand side, investment grade retail funds saw an inflow of 800mm (0.6% of AUM) last week. This was a reduction from the record inflows of 1.6bn last week. While last week saw a solid 10.7bn...

FxWirePro: USD/JPY Option Knock-in set-up ahead of BoJ and Fed

Dec 06, 2017 12:30 pm UTC| Research & Analysis Insights & Views Central Banks

The Japanese yen has vented higher more recently than that (up 16% vs USD and 25% against GBP in 1H 2016 for example). Thats a reminder that when a currency is as cheap as the yen (USDJPY PPP is at 103 according to the...

FxWirePro: Avoid exaggeration in Scandis, welcome EUR/SEK correction but load up NOK/SEK longs

Dec 06, 2017 11:35 am UTC| Research & Analysis Insights & Views Central Banks

Dear reader, lets not blow out of the proportion in EURSEK. Yes, the psychological mark of 10 is indeed luring factor. And yes, real interest rates in Sweden are very low. However, the economy is humming and the Riksbank...