I have done that for 20 years, different banks, different continents. It s more a hobby, passion than a job for me. It is certainly less interesting than before with all the new regulations and the FX probe ( London fixing problem). It is getting tougher and tougher. Algos are replacing traders. When you quote a 0.3/0.6 spread all day long in euro for example… you don’t make much out of it. It s a given thing and once they have the foot in, they can start to sell you other ( more lucrative) products.
I have done that for 20 years, different banks, different continents. It s more a hobby, passion than a job for me. It is certainly less interesting than before with all the new regulations and the FX probe ( London fixing problem). It is getting tougher and tougher. Algos are replacing traders. When you quote a 0.3/0.6 spread all day long in euro for example… you don’t make much out of it. It s a given thing and once they have the foot in, they can start to sell you other ( more lucrative) products.
Read more: 301 Moved Permanently
CME , chicago mercantile exchange. cot report. now im thinking ive got my numbers wrong, Now i think 1.8 billion euros have been bought??? maybe you could have a look and clear it up as i am a noob and could have got it wrong, cheers.
At a first search I got some numbers from here: EUR Commitments of Traders | Myfxbook
I guess those are full lots. “Dealers, typically sell-side” (blue line) I would say are LP in forex, with +168429 volume.
The blue line is way much above zero, indicating a strong trend. It also started now to decline, which means we are probably in the middle of the entire move.
On red line are low risk positions, compared with equity size, and on green line are high leveraged positions executed/heged by algorithms.
Long positions Net Prior Gross
EUR 137.1k 157.5k Change 20.4k 79.6k long. so 79.6k means 79600 contracts. A contract equals one lot which is 100000 units. So 137100 x 100000 = 137,100,000,000 Euros purchased.
Short positions Net Prior
216.7k 216.9k Change 0.02k So 216,700,000,000 Euros sold short.
So more people selling than buying, the Euro will continue to drop. Please let me know if i have this wrong I probably have. A 79,600,000,000 difference in favour of shorting the Euro, Im still not sure if it will rise before the fall, Long-term fundamentally we all know the Euro will depreciate against the dollar but that is too objective most of us dont have accounts big enough to wait for the fundamentals to play out ha. Tho this doesnt add up to 2 trillion, now im confused. I guess it is because this is just futures positions.
The simple answer is no.
Why is that?