• The FX hedging of OTC option strikes can intensify as their expiries loom, especially the larger ones

• That hedging activity can often draw spot toward the strike, especially when markets are more subdued

• The biggest EUR/USD strikes for Tuesday's 10-am New York cut (14.00 GMT) are 1.1570-75 on €2.3 billion

• There's €733 million at 1.1600 Tuesday and another €1.8 billion at 1.1600 Wednesday

• Thursday has €1.2 billion at 1.1600 and €2.5 billion at 1.1550. But look out for 1.1500 at the end of the week

• If EUR/USD should come under pressure, there are a massive €4.1 billion 1.1500 Thursday and €11 billion Friday
EUR/USD FX option strike expiries August 18-21


(Richard Pace is a Reuters market analyst. The views expressed are his own)