British Pound Forecast to Appreciate versus Yen
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GBPJPY - The ratio of long to short positions in the GBPJPY stands at -2.17 as 32% of traders are long. Yesterday the ratio was -2.12; 32% of open positions were long. Long positions are 11.2% higher than yesterday and 15.0% below levels seen last week. Short positions are 13.6% higher than yesterday and 12.8% above levels seen last week. Open interest is 12.8% higher than yesterday and 16.8% above 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 GBPJPY may continue higher. The trading crowd has grown further net-short from yesterday and last week. The combination of current sentiment and recent changes gives a further bullish trading bias.
See next currency section: EURUSD - One-sided Forex Trader Sentiment Points to Euro Gains
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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