Last updated: Saturday, February 27, 2010
Risk-averse traders have been hedging their long EURUSD exposure since the Greek debt crisis emerged. So it’s not surprising that EURUSD put options have become increasingly more expensive than call options. Indeed, EURUSD put options are 1.5 percent more expensive than call options with the same maturity and delta strike. This is close to an all time record and I recommend traders to be extremely cautious with leverage while trading the EURUSD.
