Australian Dollar Forecast Remains Bullish
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AUDUSD - The ratio of long to short positions in the AUDUSD stands at -1.08 as 48% of traders are long. Yesterday the ratio was -1.14; 47% of open positions were long. Long positions are 5.3% higher than yesterday and 4.5% below levels seen last week. Short positions are 0.1% lower than yesterday and 3.2% below levels seen last week. Open interest is 2.4% higher than yesterday and 6.3% below its monthly average. We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are short gives signal that the AUDUSD may continue higher. The trading crowd has grown less net-short from yesterday but further short since last week. The fact that crowds are net-short gives us a modestly bullish AUDUSD trading bias.
See next currency section: NZDUSD - New Zealand Dollar in Position to Gain
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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