EUR/USD: Risk reversal jumps to one week high
One-month risk reversal for the EUR/USD, a gauge of calls to puts, prints a seven-day high during the early Monday. It’s worth mentioning that the options market catalyst rose for two consecutive weeks, namely in March and April, while starting May on positive footage.
This goes hand-in-hand with the EUR/USD run-up in April as well as the recent rise to refresh the intraday high.
Risk reversals flash the +0.032 level, favoring EUR/USD bulls by the press time, according to data provided by Reuters. The positive reading indicates call options are drawing higher premium (option price) than put or bearish bets.
Technically, the currency major pair keeps Friday’s downside break of 100-day SMA amid weakening MACD bullish bias.
Read: EUR/USD Price Analysis: Defends 1.2000 but bears stay hopeful