USD/JPY Options Appear to be Underpricing Potential for Volatility
Implied volatility has been on the decline in FX, but there looks to be potential for a rise in Yen volatility which may stem from the stock market.
Implied volatility has been on the decline in FX, but there looks to be potential for a rise in Yen volatility which may stem from the stock market.
The Euro has been offered-lower after the ECB announcement to extend QE from two weeks ago; but EUR/JPY continues to cling on a prior zone of support. If this zone finally gives way, the door is opened for short-side setups.