💶Euro Daily Range Surged Into December: Cable FX Macro

• The daily trading range in EUR/USD holds an average of about 70 pips over the last 6-months. We have seen the pair trade above this level for three consecutive sessions into December, the longest above average range trading streak since early September

• EUR/USD has seen losses since the beginning of the month, the cross rose sharply last month to test 1.100, last at 1.079

• Implied volatility has been rising since late November and the structure is now inverted, EUR/USD 1w vol at 7.89%. Historical vol is now testing November highs, while risk reversals continue to favor puts over calls by 38bps