Forex futures market speculative positioning data from the CFTC Commitments of Traders report as of the close on Tuesday October 21, 2014:
- EUR net short 159K vs short 155K prior
- JPY net short 72K vs 101K short prior
- GBP net short 4K vs short 3K prior
- AUD net short 32K vs short 30K prior
- CAD net short 22K vs short 16K prior
- CHF net short 18K vs short 17K prior
- NZD net short 2k vs short 2k prior
Not much change, right across the board except in yen crosses. Looks like USD/JPY longs rushed to the sidelines last week and early this week on the rout in risk. I think what we started to see on Thursday was them rushing back in. The -72K leaves plenty of room for fresh shorts to push USD/JPY back 1.10.
Yen positioning
Yen net at the least extreme since July, when USD/JPY was at 101.50.
This is a good buying signal if you were already thinking about USD/JPY longs.
