Implications: Bullish (but see below)
NZD: The 52 and 13 week COT indexes are at 12 and 17 after being at 4 and 0. Readings this low are suggestive of a bearish sentiment extreme and reversal opportunity. However, this could also be the beginning of a larger bear trend. In such instances, COT data will indicate an initial bearish extreme before the big decline begins…so be careful.