One-month risk reversal on EUR/USD, a measure of the spread between call and put prices, prints the highest level since December 08 for Wednesday per data source Reuters.
A call option gives the holder the right but not obligation to buy the underlying asset at a predetermined price on or before a specific date. A put option represents a right to sell.
That being said, the daily difference between them rose to +0.038 at the latest, per Reuters.
It’s worth noting that the options market’s optimism could be witnessed in the EUR/USD price moves that rose the most in two weeks. However, the latest challenges to the risk appetite seem to test the pair buyers ahead of the key US data.
Read: EUR/USD Price Analysis: Bulls moving in on critical daily resistance area
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