US Dollar May Trend Lower versus Japanese Yen
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USDJPY - The ratio of long to short positions in the USDJPY stands at 1.13 as 53% of traders are long. Yesterday the ratio was 1.22; 55% of open positions were long. Long positions are 1.7% lower than yesterday and 19.1% below levels seen last week. Short positions are 5.6% higher than yesterday and 12.9% above levels seen last week. Open interest is 1.6% higher than yesterday and 4.7% below its monthly average.
We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are long gives signal that the USDJPY may continue lower. The trading crowd has grown less net-long from yesterday and last week. The combination of current sentiment and recent changes gives a further mixed trading bias.
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