Japanese Yen Bias Less Clear
USDJPY – Currency trading crowds have remained net-long the US Dollar against the Japanese Yen since the pair traded above the 90.00 mark. A more recent shift nonetheless warns that short-term momentum may be moving in the US Dollar’s favor, and indeed one of our SSI-based trading systems has recently gone long the USDJPY. The ratio of long to short positions in the USDJPY stands at 3.54 as nearly 78% of traders are long. Yesterday, the ratio was at 4.16 as 81% of open positions were long. In detail, long positions are 3.4% lower than yesterday and 12.1% weaker since last week. Short positions are 13.5% higher than yesterday and 40.3% stronger since last week. Open interest is 0.1% weaker than yesterday and 0.1% below its monthly average. The noteworthy pullback in long positions and sharper jump in short interest warns that the pair could correct higher through near-term trading.
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