- Posted June 30, 2014 by
USD Strong Risk of Bounce
According to DailyFX.com, FX Options markets are ramping up bets on sharp price moves as we await key data out of the US and a European Central Bank interest rate decision. All the while, the Euro trades at critical price resistance at the confluence of its 200-day Simple Moving Average and key congestion near $1.3675.
Yet in broad terms we see a number of signs that the Dollar may remain in its larger range versus the Euro and other counterparts. While the DailyFX 1-week Volatility Index has risen noticeably, 3-month and 1-year indices continue near record lows. In other words: few are betting on a Dollar breakdown here.