table

US Dollar Forecast Remains Bearish on Forex Sentiment

•    EURUSD – Euro Outlook Remains Bullish Against Dollar
•    GBPUSD – British Pound Forecast to Gain Further
•    USDJPY – Japanese Yen Likely to Recover versus Dollar
•    USDCHF – Swiss Franc Forecast Positive
•    USDCAD – Canadian Dollar Forecast Less Bullish
•    GBPJPY – Sentiment-based Bias Grows Neutral

 

You can receive SSI readings twice a day in DailyFX Plus Forex Intraday Trading Signals.

 

View individual currency charts on our Technical Sentiment Page.

Forex trading crowds remain heavily net-long the US Dollar through time of writing, leaving little scope for a short-term Dollar recovery. Last week we called for continued USD losses on one-sided positioning, and indeed the Greenback continue to lose ground as our SSI ratios remained extreme. More recently we have seen somewhat of a moderation in Dollar longs, but we can hardly call for major reversals until we see price move substantively in the same direction. As it stands, we remain bearish and forecast losses in the US Dollar. Of course, the further it falls, the more likely a substantive reversal. Indeed, forex futures and options positioning suggests that US Dollar sentiment remains at bearish extremes—making a recovery likely in the foreseeable future.

DailyFX provides forex news on the economic reports and political events that influence the currency market.
Learn currency trading with a free practice account and charts from FXCM.

Resources

• free demo account
• forex courses
• open an account
• real time news
• free webinars