Key FX option expiries for EUR/USD affecting market movements before US trading

    by VT Markets
    /
    Aug 21, 2025
    FX option expiries today highlight EUR/USD at the 1.1670 and 1.1700 levels. The 1.1670 level is close to important hourly moving averages of 1.1664-68, which may limit upward movement during today’s trading. The 1.1700 expiry could also act as a barrier, restricting price increases until US trading starts. Key events for the euro include French and German PMI data, while the dollar’s focus remains on news from the Federal Reserve.

    Educational Opportunities

    You can find educational resources for a better understanding of how to use this data in trading. InvestingLive also provides insights into current market movements. There is notable option interest at the 1.0800 level for today’s New York cut. This concentration is likely to act as a magnet, potentially limiting any upside for EUR/USD in the short term. Traders should monitor price action to see if it stalls around this key strike price as the expiry approaches. Reflecting back, during this time in 2021, we saw major option barriers clustered higher, near 1.1700. The trading landscape has changed since then, now focusing on a lower range. This shift highlights the dollar’s continuous strength over the past few years.

    Market Expectations

    This week’s flash PMI readings show a cautious outlook for the euro. The S&P Global Eurozone Composite PMI registered a contraction at 49.5, while the US reading stayed in expansion territory at 51.2, emphasizing the economic divide. This data suggests a weaker outlook for the euro. All attention is now on the Jackson Hole symposium starting tomorrow for insights on monetary policy. With the latest US CPI at a stubborn 3.5% and Eurozone inflation easing to 2.8%, we are on the lookout for any signals of policy divergence between the Fed and ECB. Derivative traders should prepare for potential volatility based on the central bankers’ comments. Create your live VT Markets account and start trading now.

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