US Dollar Remains a Buy versus Japanese Yen
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USDJPY: Retail trader data shows 53.4% of traders are net-long with the ratio of traders long to short at 1.14 to 1. The number of traders net-long is 1.2% higher than yesterday and 4.7% lower from last week, while the number of traders net-short is 6.3% lower than yesterday and 18.4% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests USDJPY prices may continue to fall. Positioning is more net-long than yesterday but less net-long from last week. The much-larger shift towards crowd selling nonetheless leaves us with a USDJPY-bullish contrarian trading bias.
See next article in this week’s report: Gold Price - Gold Price Tumbles – How Much Further to Go?
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