USDJPY Steady Advance Supported By Modest SSI Reading

[B]USD/JPY [/B][B]Ratio: -1.10
[/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             [B]-1.26[/B]             [B]-1.10[/B]             48%             0.25%             Bullish                


[B]USDJPY – [/B]The steady yet reserved advance in USDJPY is supported by an equally reserved SSI reading. Speculative positioning shows nearly 52% of retail traders are short the pair, creating a ratio of -1.10. This is on par with the readings from over the past few weeks: last week reported a -1.26 and the number before that stood at -1.23. As a contrarian indicator, this sentiment gauge points to further gains; but the signal is relatively weak. From the USDJPY rally through last June, we can interpret a strong reading as being near or above -2.00. From the details, it seems retail traders are starting to turn into the pair’s steady advance. Long positions grew 5.1% from Wednesday and have risen 12.3% on the week. Shorts on the other hand slipped 1.2% since yesterday and are 8.7% weaker than last Thursday. On the whole, total open interest is 2.7% greater than last week’s levels and 5.7% above the monthly average.