How do you lean bearish on the Euro without betting that it collapses? Sell the resistance. This week's Five Minute Futures builds a defined risk call credit spread on Euro FX futures, the @cmegroup contract known as 6E, to fade a ceiling the Euro keeps struggling against.
The trade wins if the Euro simply stays below the short strike, so it can chop, drift or even fall and still work. The real lesson is why futures options beat spot FX here: fixed strikes, a visible expiration, and a clean max profit and loss instead of haggling with a spot quote and rollover. Sell above the market, cap the risk, take profit early.
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Chapters
00:00 The setup, sell Euro resistance
00:36 Why not just trade spot FX
01:34 The contract and the tick
02:58 The cost map ...