USD/CAD Ratio: 2.12
Signal: Bearish
| Currency | Last Week | Present* | % Long | % Change in Positions Outstanding | Signal |
| USDCAD | 1.77 | 2.12 | 68% | 5.36% | Bearish |
USDCAD – There are still no signs from positioning that a breakout from the long range bound USDCAD is on the horizon. The pair’s index ratio rose to 2.12 from last week’s 1.77; and on Monday, the positive reading actually grew to its greatest level since November. However, these readings are clearly not extreme for this pair (a look back to the ratio levels from this past summer and fall will give a good sense of the general level) and the sideways price action from USDCAD clearly supports the lack of conviction from speculators. The range conditions have been good for the average retailer though and the report’s breakdown reveals considerable activity. Long positions dropped 7.7% from yesterday though they are 11.5% greater than the same period a week ago. On the other side of the trade, shorts have risen 7.9% since Wednesday and are 5.7% weaker than last week. Overall, open interest is up 4.7% and has indeed been trending higher since the beginning of April. Net positioning is 2.4% above its monthly average.