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US Dollar Index:
The NYBOT traded contract saw the commercials add
to their positions against the dollar as contract failed to break the 90.00
handle. Volume as dollar rally stalled, with the On Balance Volume indicator
continuing to signal to an increasing upside volume that is adding to the
positive long term outlook regarding the Dollar Index.
Speculative positions increased their net long
exposure to 24,233 net long contracts, while commercials increased their net
short position to 25,318 net short contracts, thus adding to the outlook that
the next move to the downside will most likely see the Dollar Index reverse
direction and head toward the 88.00. Open interest rose by 9,811 to 34,050
contracts outstanding.
EUR:
Euro speculative positions flipped to net shorts
with 2,558 contracts with overall open interest rising by 6,822 contracts from
the previous week to 151,243 contracts outstanding. Commercial traders increased
their net long positioning to 7,371 contracts, which adds to the outlook that
euro once again, might hold above the 1.2000 handle and test the 1.2300 figure.
GBP:
British pound traders reduced their short
speculative positions as the pair remained above the psychologically important
1.7500 figure, with speculative traders holding net short 14,041 contracts.
Commercial positioning decreased as large traders reduced their long exposure to
the sterling with commercial net longs totaling 15,171 contracts. Open interest
decreased with 9,443 contracts being liquidated, thus brining total to 74,286
contracts outstanding.
CHF:
Swiss Franc speculative traders reduced their net
short positions as net shorts fell to 20,843 contracts. Commercials reduced
their long exposure to the contract with overall net longs falling to 31,623
contracts, thus adding to a view that the Swiss Franc is about to aim toward the
1.3000 figure. Open interest fell sharply by 13,558 contracts to 66,764
contracts outstanding.
JPY:
Japanese Yen speculative positions remained net
short as the pair tested the offers above the 116.00 figure, with only 41
speculative short contracts coming into the market to total net speculative
shorts of 66,682 contracts. Commercials reduced their net long positions with
71,214 net long commercial contracts outstanding. Open interest fell by 4,460
contracts to 195,218 contracts outstanding.
CAD:
Canadian dollar speculative positions remained
net long, with speculators liquidating 5,867 of their net long positions brining
the total to 36,945 net speculative long contracts in the market. Commercials
reduced their net short positions with 52,231 net short commercial contracts
outstanding as institutional traders expect the Loonie will remain in a sideways
range. Open interest fell by 7,729 contracts to 104,625 total contracts
outstanding.
AUD:
Australian dollar speculative positions remained
net long, with speculative traders reducing their long bets by another 3,148
contracts to 7,914 net speculative long contracts as the pair continued to trade
sideways. Commercial traders and hedgers once again reduced their net short
exposure to 13,905 net commercial shorts as large institutions most likely
expect the pair to remain range bound. Open interest fell by 4,064 contracts to
59,833 total contracts outstanding.
Sam Shenker
Sam Shenker is a Technical Currency Analyst for Forex
Capital Markets (FXCM). Sam is the author of the Daily and Weekly Technical
Research reports at FXCM. His reports include: Daily Technicals, Weekly Crosses
and the Weekly Chart Pack. Prior to joining FXCM, Sam spent a number of years on
Wall St trading equities, equity derivatives and futures. He also specialized in
research and analysis of high yield bonds, corporate bankruptcies,
restructurings, reorganizations and venture capital.