Nov 21 (Reuters) - Bids around 1.0500 have propped EUR/USD over the past week, but bears hope the downside path might open up once a raft of huge option strikes at the level roll off.

The cumulative size of 1.0500 option expiries before U.S. Thanksgiving Day next Thursday (Nov.
28) total more than 10 billion euros, including a 3.5 billion strike for next Wednesday (Nov.
27).

The 1.0500 expiries from Black Friday (Nov.
28) through Dec.
6 (NFP data release day) are for a smaller amount, cumulatively totalling two billion euros.

The rule-of-thumb is that the larger the FX option, the greater the chance it might anchor spot into expiry.

EUR/USD fell towards 1.0500 again on Thursday, on news that Russia had for the first time fired an intercontinental ballistic missile during an attack on Ukraine, having also fallen towards 1.0500 after Ukraine launched UK cruise missiles into Russia on Wednesday (the USD is a safer-haven than the euro).

Related comment: nL1N3MP08R

For more click on FXBUZ