USD/CAD: Options market stays bearish for consecutive second month
|One-month risk reversal on USD/CAD, a measure of the spread between call and put prices, looks set to end April on a negative side, -0.30 according to data source Reuters by the press time of early Wednesday
Given the negative figures, suggesting the call option losses momentum versus the put option, USD/CAD sellers keep the reins.
At press time, USD/CAD picks up bids around the intraday high of 1.2415, up 0.11% on a day.
In doing so, the pair moves should have followed the US dollar’s downside ahead of the key Federal Reserve (Fed) interest rate decision.
Read: Federal Reserve Preview: Will Powell power up the dollar? Three things to watch out for
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.