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AUDNZD

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Technical Summary

Hourly

News

FX options wrap - Intervention alert, data threat, USD bid

BUZZ-FX options wrap - Intervention alert, data threat, USD bid FX option implied volatility is back at the long-term lows seen before the March 22 Chinese yuan slump, but there are a few exceptions that highlight perceived volatility risks ahead. USD/CNH 1-month expiry implied volatility spiked from 2.5 to 4.75 on March 22 but has met demand on its reversion to 3.3. One-month risk reversals flipped from a USD put, to a USD call premium that day, which remains intact to reflect the risk of more
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FX options wrap - Value and protection, JPY conflict, EUR slide

BUZZ-FX options wrap - Value and protection, JPY conflict, EUR slide FX option implied volatility returns to long-term lows, aligning with a slight increase in historical volatility for cost-effective currency protection . The impending UK/EU Easter bank holidays are adding a little weight to implied volatility as traders adjust for the four dead trading days.
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FX options wrap - Panic over, forecast, double-edge, month-end

BUZZ-FX options wrap - Panic over, forecast, double-edge, month-end Friday's panic demand for FX option implied volatility that started in USD/CNH, was quickly reversed and premiums have since reverted to long term lows . Low implied volatility is a double edged sword for FX markets - a boon for carry traders, but a hindrance for those who rely on FX volatility to generate returns.
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FX options wrap - CNH driver, JPY intervention, month-end

BUZZ-FX options wrap - CNH driver, JPY intervention, month-end A significant USD/CNH spike reignited demand for G10 FX option implied volatility on Friday , but a lower PBOC fix had the reverse effect on Monday with broader implied volatility retracing those gains . Benchmark 1-month expiry USD/CNH implied volatility jumped from 7-year lows at 2.5 to 4.5 on Friday, but fell over 1.0 from an early 4.75 peak on Monday.
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FX options wrap - Could this be the return of FX volatility?

BUZZ-FX options wrap - Could this be the return of FX volatility? What a difference a day makes! But is Friday's resurgent demand for implied volatility signalling a long awaited return from a low FX realised volatility environment, or an opportunity to initiate fresh short volatility positions ? Risk aversion and USD demand started in the Chinese yuan , where benchmark 1-month expiry implied volatility posted rapid and significant gains from 7-year lows at 2.5 to 4.5. Contagion quickly spread t
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