According to out proprietary customer flow database which measures the positioning of more than 20.000 traders, the ratio of long to short positions in the EURUSD stands at -2.75 as nearly 73% of traders are short. In detail, long positions are 11.4% lower than yesterday and 13.6% stronger since last week. Short positions are 3.3% higher than yesterday and 8.2% stronger since last week. Open interest is 1.1% weaker than yesterday but 13.3% above its monthly average. In the past, when traders were short and selling more, the EURUSD has rallied in the following days. The SSI is a contrarian indicator and signals a EURUSD test of 1.4200.
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By Antonio J F Sousa, [email protected]