British Pound Likely to Fall Further versus Yen
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GBPJPY - The ratio of long to short positions in the GBPJPY stands at 1.61 as 62% of traders are long. Yesterday the ratio was 1.77; 64% of open positions were long. Long positions are 11.5% lower than yesterday and 12.7% above levels seen last week. Short positions are 2.9% lower than yesterday and 4.2% below levels seen last week. Open interest is 8.4% lower than yesterday and 2.2% 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 GBPJPY may continue lower. The trading crowd has grown less net-long from yesterday but further long since last week. The combination of current sentiment and recent changes gives a further mixed trading bias.
See next currency section: EURUSD - Retail FX Traders Remain Short Euro versus US Dollar
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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