Until Tuesday ( before Wednesday FOMC and Fri NFP), institutions show no love for the dollar., they increased net bearish bets 3 weeks in a row
For Dollar, the latest COT as of Tuesday, Jan 30, 2018 shows the institutions net long dollar positions decreased during the last week by 1,633 lots , net positions negative 5,740 lots.They continued to short the dollar.
2,236 long positions were closed and 603 short positions were closed as well, . Now Longs total 29,000 lots vs shorts total 34,740 lots .
45% long exposure vs 55% short exposure , Longs dropped 2% and shorts added 2% from the previous week
Price was consolidating between 90.11 to 89.16 area and closed at 89.19, at a weekly demand zone
Larger amount of the longs being closed , it indicates their belief the dollar price will continue to move down from this 89-90 price area.
some shorts being closed , it indicates their belief this weekly demand zone may provide some bounce.
Bearish bias remains…
Please note institutions take weeks and months to build a position in the currency market. For dollar, they have been decreasing their net long positions for over a year, therefore, the bearish sentiment is more for long term outlook, not intended for short term trading.
For Dollar, the latest COT as of Tuesday, Jan 30, 2018 shows the institutions net long dollar positions decreased during the last week by 1,633 lots , net positions negative 5,740 lots.They continued to short the dollar.
2,236 long positions were closed and 603 short positions were closed as well, . Now Longs total 29,000 lots vs shorts total 34,740 lots .
45% long exposure vs 55% short exposure , Longs dropped 2% and shorts added 2% from the previous week
Price was consolidating between 90.11 to 89.16 area and closed at 89.19, at a weekly demand zone
Larger amount of the longs being closed , it indicates their belief the dollar price will continue to move down from this 89-90 price area.
some shorts being closed , it indicates their belief this weekly demand zone may provide some bounce.
Bearish bias remains…
Please note institutions take weeks and months to build a position in the currency market. For dollar, they have been decreasing their net long positions for over a year, therefore, the bearish sentiment is more for long term outlook, not intended for short term trading.