For the third day in a row EURUSD is consolidating in a narrowing trading range. After the tuesday reversal (low 1.1235 - close 1.1337) the currency pair has not moved much and is capped between 1.1300 and 1.1360 since. An outbreak to eiher side is on the table. Even if I think the downside is more likely with regard to the latest comments from Powell the Euro is bid again this morning.
Who is not willed to toss a coin or has no strong bias to eiher side should think about a FX option (hedged). I like the 3 mth tenor for a mixed gamma/vega position and the 6 mth tenor for an outright implied volatility trade. Below you can find the most recent vol surface (Source: CME Group) where I marked the most interesting tenors/deltas.
The 3 mth ATM FX Option makes the most sense to me as I am expecting some bigger market movement soon. I also keep the opportunity to benefit from increasing implied volatility.
Good luck,
Sebbo