US Dollar Forecast Turns Bearish Against Euro, Canadian Dollar
Persistently narrow trading ranges across major currency pairs has led to similarly limited swings in forex sentiment, but impressive Canadian Dollar gains has forced substantive sentiment extremes in the USDCAD pair. Indeed, Canadian Dollar SSI reached its most extreme levels since the currency hit a whopping $0.9060 in late 2007. The more recent USDCAD pullback has moderated sentiment somewhat, but traders long outnumber those short by an impressive 3.2 to 1. In other currency pairs sentiment has been far less eventful, but it is worthwhile noting that Euro/US Dollar short interest has grown by 28 percent since last week. Overall the SSI gives us a fairly bearish short-term US Dollar trading bias.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.