As we head into Friday’s trading session, market participants should keep an eye on several significant FX option expiries. These expiries could influence price action, particularly if spot prices hover near these key levels. Here’s a breakdown of the most notable option expiries across major currency pairs:

USD/JPY

• 153.00 – 513 million
• 151.30 – 753 million
• 150.00 – 1.27 billion
• 149.50 – 906 million
• 148.00 – 1.02 billion
• 147.00 – 798 million

USD/JPY traders should watch for potential resistance near the 150.00 level, given the sizable 1.27 billion expiry. Lower down, 148.00 and 147.00 also present notable levels that could impact price movements.

EUR/USD

• 1.0600/10 – 1.24 billion
• 1.0560/70 – 613 million
• 1.0540/50 – 2.11 billion
• 1.0520/30 – 1.55 billion
• 1.0500/10 – 1.47 billion
• 1.0480/90 – 682 million
• 1.0460/70 – 977 million
• 1.0440/50 – 787 million
• 1.0420/30 – 614 million
• 1.0400/10 – 3.28 billion
• 1.0380/90 – 2.48 billion
• 1.0320/30 – 452 million
• 1.0260/70 – 721 million

With a massive 3.28 billion expiry at 1.0400/10, traders should be aware of heightened activity around this level. Other significant expiries between 1.0540 and 1.0480 suggest potential clustering of interest in this range.

GBP/USD

• 1.2650 – 411 million

While not as large as EUR/USD, this expiry could still influence short-term price action, especially if spot remains near this level.

AUD/USD

• 0.6500/10 – 1.20 billion
• 0.6420 – 663 million

The 0.6500/10 level holds a substantial expiry, making it a potential resistance or support zone.

NZD/USD

• 0.5610 – 647 million

While smaller in size, traders should note any reactions if the price hovers near this level.

USD/CAD

• 1.4660/70 – 923 million
• 1.4650 – 845 million
• 1.4490/1.4500 – 1.66 billion
• 1.4450/60 – 560 million
• 1.4400 – 1.67 billion
• 1.4370/80 – 1.06 billion
• 1.4300 – 1.02 billion
• 1.4290 – 648 million

With multiple billion-dollar expiries clustered between 1.4400 and 1.4500, USD/CAD is likely to see increased volatility in this range.

EUR/GBP

• 0.8240 – 588 million

USD/CHF

• 0.9000 – 440 million
• 0.8980 – 410 million
• 0.8920 – 450 million
• 0.8870/80 – 700 million

AUD/JPY

• 93.70 – 405 million

USD/MXN

• 20.51 – 735 million
• 19.90 – 810 million

USD/CNH

• 7.30 – 418 million
• 7.25 – 769 million
• 7.20 – 435 million

Market Implications

Large option expiries can have a significant impact on price action, particularly when spot prices are trading close to these levels at the time of expiry. Traders should remain vigilant around these key levels, as they may serve as short-term support or resistance zones, leading to potential volatility spikes.

As always, market sentiment, macroeconomic data releases, and central bank communications will also play a critical role in shaping FX movements alongside these expiry-related flows.