One-month risk reversal on USD/ZAR, a gauge of calls to puts, fell to 2.65 on Monday to hit the lowest level since March 9, having topped out at 5.425 in early April. The decline to multi-month lows is reflective of the weakening of demand for call options on USD/ZAR. A call option is a derivative contract, which gives the holder the right but not the obligation to buy the underlying asset at a predetermined rate on or before a specified date. It is essentially a bullish bet on the underlying asset. Meanwhile, a put option represents a right to sell. The data validates South African Rand’s two-month uptrend. The currency bottomed out at 19.339 per US dollar in early April and was last seen changing hands at 17.55 per dollar. Risk reversals FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next EUR/USD edges higher after Monday’s Doji as risk assets in Asia rally FX Street 3 years One-month risk reversal on USD/ZAR, a gauge of calls to puts, fell to 2.65 on Monday to hit the lowest level since March 9, having topped out at 5.425 in early April. The decline to multi-month lows is reflective of the weakening of demand for call options on USD/ZAR. A call option is a derivative contract, which gives the holder the right but not the obligation to buy the underlying asset at a predetermined rate on or before a specified date. It is essentially a bullish bet on the underlying asset. Meanwhile, a put option represents a right to sell. … Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
