Declining Open Interest in AUD/USD as Crowd Prepares for Brexit Vote
AUDUSD - The ratio of long to short positions in the AUDUSD stands at 1.03 as 51% of traders are long. Yesterday the ratio was 1.12; 53% of open positions were long. Long positions are 3.8% lower than yesterday and 11.5% below levels seen last week. Short positions are 4.8% higher than yesterday and 0.8% above levels seen last week. Open interest is 0.2% higher than yesterday and 14.1% below its monthly average. We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are long gives signal that the AUDUSD may continue lower. The trading crowd has grown less net-long from yesterday and last week. The combination of current sentiment and recent changes gives a further mixed trading bias.
--- Written by Christopher Vecchio, Currency Strategist
To contact Christopher Vecchio, e-mail email@example.com
Follow him on Twitter at @CVecchioFX
To be added to Christopher’s e-mail distribution list, please fill out this form
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.