Japanese Yen Outlook Calls for Losses
USDJPY – Continued USDJPY rallies have been met with fairly aggressive crowd selling, giving contrarian signal to go long the volatile currency pair. The ratio of long to short positions in the USDJPY stands at 1.89 as nearly 65% of traders are long. Yesterday, the ratio was at 1.96 as 66% of open positions were long. In detail, long positions are 1.5% lower than yesterday and 20.5% weaker since last week. Short positions are 1.8% higher than yesterday and an impressive 50.6% stronger since last week. Open interest is 0.4% weaker than yesterday and 18.0% below its monthly average. The SSI is a contrarian indicator, and the persistent build in short positions gives contrarian signal to buy into USDJPY rallies.
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