[B]GBP[/B][B]/USD Ratio: -1.57
[/B][B]Signal: Bullish[/B]
[B]Currency[/B] [B]Last Week[/B] [B]Present*[/B] [B]% Long[/B] [B]% Change in Positions Outstanding[/B] [B]Signal[/B] GBPUSD 1.16 [B]-1.57[/B] 39% -15.59% Bullish
[B]GBPUSD – [/B]Over the past few months, any trends that developed in GPBUSD positioning have been quickly broken as congestion has dominated underlying price action. This week, we have seen a flip in the pound sentiment indicator to -1.57 after two week’s of moderate positive readings. What’s more, the daily readings recorded this week are the most extreme we have seen (either net long or short) since January, which is likely a reflection of the rebound from 1.94 and recent break above a two-month falling trendline in the underlying. Looking at retailers’ trading activity, longs have dropped 12.5% since yesterday and are a considerable 36.9% lower than last week. Showing the group’s penchant for fighting the trend, shorts have actually grown 7.2% from Wednesday and are up 13.1% for the week. Unlike the EURUSD, the increase in trading activity and price action have actually led GBPUSD open interest to fall 13.8% on the week with current levels 7.4% below the monthly average.