New Zealand Dollar Rally Proves Short-Lived
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NZDUSD – A shift in retail forex trader positions warns that the recent New Zealand Dollar rally may prove short-lived. Last week we wrote that a strong reversal in trader sentiment pointed to renewed NZD/USD strength as the crowd suddenly sold into Kiwi Dollar gains. Yet total open short positions declined by a notable 15 percent in the past week, and overall positions are now almost exactly flat—leaving us with little clear trading bias in the days ahead.
See next currency section: XAUUSD - Gold Prices May have Turned versus the US Dollar
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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