Perfect fib retracement in EUR

Quote from atticus:

There is a fantastic bull corridor play [touch-exotic] in EURUSD playing out this week with a 30/100 payout.
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Being honest I don't have a clue what that means, except for the payout which sounds good! Options, right? Bullish on Eur/Usd? Am I close?

Care to explain?
 
Quote from cabletrader:

Being honest I don't have a clue what that means, except for the payout which sounds good! Options, right? Bullish on Eur/Usd? Am I close?

Care to explain?
More...

A corridor is simply a forward-start touch option. Any touch in which its date of origin > present time. This specific corridor pays from 1.4490 to 1.4650 on the 18th of Feb. Price and vol can trade anywhere in the interim, only 2/18/08 matters. In that respect, a corridor acts as an euro-convention which converges to an american at expiration.
 
Quote from atticus:

A corridor is simply a forward-start touch option. Any touch in which its date of origin > present time. This specific corridor pays from 1.4490 to 1.4650 on the 18th of Feb. Price and vol can trade anywhere in the interim, only 2/18/08 matters. In that respect, a corridor acts as an euro-convention which converges to an american at expiration.
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Right, so the closer to 1.4650 on the 18th the more it pays?
 
Quote from cabletrader:

Right, so the closer to 1.4650 on the 18th the more it pays?
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A hit between the two prices pays the same, but a trade to the mipoint will return more [but less than max] as we approach expiration. Full payout can only be achieved when price intersects the barrier at expiration.
 
Quote from atticus:

A hit between the two prices pays the same, but a trade to the mipoint will return more [but less than max] as we approach expiration. Full payout can only be achieved when price intersects the barrier at expiration.
More...

Thanks for the explanations.

I don't know how you guys predict weeks ahead, especially not in the current conditons, the next 15 minutes is about my limit, if that!

I hope the trade works out for you.
 
I was long Eur Sun night but my position was under water on Monday, I decided to add a little more at the lows and was able to pull out with a profit today.

Was not an easy trade since I don't like to stay in so long but I could have done even better if I had a higher profit target.
 
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