The new trading week is opening with the Us dollar stronger, aided by better than expected economic data released last week.  The week ahead is quiet on the data front while the market awaits the Fedââ,¬â"¢s next meeting on June 29th.  Recent comments from Fed Presidents who have mentioned the threat of inflation, has the market expecting another 25 bps rate hike following this next meeting. 

Volatilities are lower this week as all the anticipation regarding last weekââ,¬â"¢s data releases has past.  Skews are unchanged from last week.

OPTION TRADE IDEAS

Below please find some strategies, which depending on your view might be applicable.  Please bear in mind that all of these trades can be applied to any of the currency pairs, which may be traded.  All barrier levels, strikes, triggers, payouts, and maturity dates can be tailored to each individualââ,¬â"¢s views.

Kathy Lien is the Chief Currency Strategist at FXCM.

Disclaimer: Transactions in options carry a high degree of risk. Purchasers and sellers of options should familiarize themselves with the type of option (i.e., put or call) which they contemplate trading and the associated risks. You should calculate the extent to which the value of the options must increase for your position to become profitable, taking into account the premium and all transaction costs.