USD/CAD Ratio: 1.82 Signal: Bearish
USDCAD – Over the past week, USDCAD has extended its steady pullback from range resistance at 1.0325; and in turn, retail traders have become more emboldened in playing an ever more refined technical range. This week, the pair’s SSI ratio rose to 1.82 with 65% of the speculative market holding long trades. On the one hand, this marks a steady increase in confidence that a temporary low is being put into place as today’s reading is significantly more skewed than the previous week’s 1.47 reading and 1.06 figure from two weeks ago. On the other, the current number is hardly an extreme when compared to the levels over the past year. From the report’s details, it is clear that retailer traders are attempting to trade ahead of the market by finding a closer range floor. Long positions are 1.0% higher than yesterday and 5.4% stronger than last week. With 1.01 and parity in the underlying as a reference for support and target, shorts have dropped 5.0% from yesterday and 22.2% from the same day a week ago. However, altogether, open interest has slipped 2.3% over the past week and is 2.3% below the monthly average.