[B]USD[/B][B]/CAD Ratio: 2.35
[/B][B]Signal: Bearish[/B]
[B]Currency[/B] [B]Last Week[/B] [B]Present*[/B] [B]% Long[/B] [B]% Change in Positions Outstanding[/B] [B]Signal[/B] USD/CAD 2.66 [B]2.35[/B] 70% 1.15% Bearish
[B]USDCAD – [/B]Congestion has overtaken USDCAD since the pair broke below a mature rising trend channel last week. The Speculative Sentiment Index ratio for the pair stands at 2.35 compared to 2.46 yesterday and 2.66 last Thursday. The lack of direction has encouraged retail traders to take positions in more active pairs, leading USDCAD open interest to rise a modest 0.7%, leaving the overall level of positions 0.8 percent above its monthly average. Digging deeper into the details, longs are 0.6% weaker than yesterday and 0.5% lower than last week. Short positions have grown 3.8% from Wednesday and 5.4% from last week. Since the SSI is a contrarian indicator, the long held net positive reading calls for further USDCAD declines.