[B]USD/JPY [/B][B]Ratio: -1.66
[/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] USDJPY -1.93 [B]-1.66[/B] 38% 4.20% Bullish
[B]USDJPY – [/B]After potentially confirming the turn of a major bear trend by pushing above 106 last week, USDJPY activity has failed to generate significant follow through. Nonetheless, the contrarian Speculative Sentiment Index is still offering strong readings for a sustained advance. Today, the USDJPY ratio held at -1.66 which was a modest correction from the most extreme bias in a year with last week’s figure; yet the reading maintains a very clear tendency towards a counter-trend short positioning. Breaking the indicator down into its components, it seems retail traders are finding it more difficult to fight the trend. Long positions were only 0.1% fewer than Wednesday’s number while they actually rose 21.6% from last week. With stops being run on the other side of the market, shorts were a modest 0.8% higher than yesterday but 4.1% weaker than last Thursday. However, despite their lack of success in fighting the trend, speculative traders are still trying their hand at calling a top. Net open interest has 7.2% from last Thursday and is 10.0% above the monthly average.