USD/CAD Ratio: 2.23 Trading Forecast: Bearish
USDCAD – Traders continue heavily net-long the US Dollar against the Canadian Dollar, but a sudden jump in short positions suggests that a turn in sentiment will bring a shift in forecasts on the USD/CAD pair. The ratio of long to short positions in the USDCAD stands at 2.25 as nearly 69% of traders are long. Typically such sentiment extremes tell us that the US Dollar may decline against its Canadian counterpart, but we likewise see that short positions have actually jumped 16.0 percent overnight. When forex trading crowds are net-long but begin to sell the USD/CAD, we often see a USD/CAD rally through subsequent trade. Tell us and other traders what you think in our forex forum.