Japanese Yen Eyes Gains versus the US Dollar
DailyFX.com -
USDJPY - The ratio of long to short positions in the USDJPY stands at 2.28 as 70% of traders are long. Yesterday the ratio was 1.98; 66% of open positions were long. Long positions are 5.4% higher than yesterday and 6.2% below levels seen last week. Short positions are 8.5% lower than yesterday and 14.9% above levels seen last week. Open interest is 0.8% higher than yesterday and 7.4% above its monthly average. We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are long gives signal that the USDJPY may continue lower. The trading crowd has grown further net-long from yesterday but moderated since last week. The combination of current sentiment and recent changes gives a further mixed trading bias.
How do we interpret the SSI? Watch an FXCM Expo Presentation that explains the SSI.
--- Written by Christopher Vecchio, Currency Strategist
To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com
Follow him on Twitter at @CVecchioFX
To be added to Christopher’s e-mail distribution list, please fill out this form
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.
