Thank you for visiting the Forex.Academy FX Options Expiries Section. Each day, where available, we will bring you notable maturities in FX Options of amounts of $100 million-plus, and where these large commutative maturities at specified currency exchange rates often have a magnetic effect on price action, especially in the hours leading to their maturities, which happens daily at 10.00 AM Eastern time. This is because the big institutional players hedge their positions accordingly. Each option expiry should be considered ‘in-play’ if labelled as Hot, or Warm, or ‘out of play’ if labelled Cold with regard to the likelihood of price action meeting the strike price at maturity.
FX option expiries for May 12 NY cut
FX option expiries for May 12 NY cut at 10:00 Eastern Time, via DTCC, can be found below.
– EUR/USD: EUR amounts
- 1.0800 892m
- 1.0850 1.0bn
- 106.25 410m
- 106.40 511m
- 106.70 588m
- 0.6050 352m
As you can see on the charts we have also plotted the expiration levels at the various exchange rate maturities and we have also labelled them as cold, warm or hot.
Therefore, if you see exchange rates labelled as warm or hot, these should be considered In-Play, because we believe there is a greater chance of the expiry maturing at these levels based on technical analysis at the time of writing. However, if we have labelled them as Cold, they should be considered Not In-Play and therefore price action would be unlikely to reach these levels, which are often referred to as Strikes, at the time of the New York cut. Please bear in mind that we have not factored in upcoming economic data releases, or policymaker speeches and that technical analysis may change in the hours leading up to the cut.
We suggest you take the levels and plot them onto your own trading charts and incorporate the information into your own trading methodology in order to use the information to your advantage.
Remember the higher the amount, the larger the gravitational pull towards the exchange rate maturity at 10:00 AM Eastern time.
If you want to learn how forex option expiries affect price action in the spot FX market see our educational article by clicking here: https://bit.ly/2VR2Nji
DISCLAIMER: Please note that this information is for educational purposes. Also, heat levels may change throughout the day in line with the exchange rate fluctuations due to technical analysis trading and upcoming economic data releases of the associated pairs.