USD/CHF Ratio: -1.45 Signal: Bullish
USDCHF – Congestion still dominates the USDCHF landscape, yet the pair’s Speculative Sentiment Index remains resolute in its reading for an eventual bullish breakout above 1.05. Over the past week, the pair has been constrained to modest 1.03 – 1.05 range, yet the pair has steadily taken on a more extreme negative sentiment reading. This week, the SSI ratio stands at -1.45 with nearly 59% of the survey group holding short positions. This compares to a -1.14 reading last week and a positive 1.03 from the week before. Despite the choppy underlying price action – or perhaps because of it – trading activity has picked up recently. Long positions plunged 25.1% since yesterday, though they were only 2.8% weaker than last week. Fighting the bottom of the short-term range, short trades jumped 11.7% from Wednesday and were nearly 12.8% greater than last week’s levels. In contrast to the GBPUSD’s range, USDCHF congestion has actually led open interest to fall 7.0% from last which tempered the monthly average to 7.7% above trend.