How Institutions Position Themselves In Euro/Usd This Week
This week, institutions changed into net longs after 3 consecutive weeks net shorts , which was shown in the latest COT as of Tuesday, Sept 4, 2018.
The institutions net long Euro positions increased this week by 15,182 contracts to positive 7,963 contracts,
1,976 long positions were added, and 15,170 short positions were closed. Now Longs total 173,335 contracts vs shorts total 165,372 contracts .
51% long exposure vs 49% short exposure, which 2% increased in longs and 2% decreased in shorts from the previous week
During week, Euro started at 1.1677, rallied up to 1.1733 high, started its sale off, hit 1.1530 low, 200 pips from its high, closed at 1.1580
Price came to test H4 demand zone 1.1535-1.1490 area. Large orders of shorts were covered , small longs have been added as well , which helped the price to rally up. Price did move up after the COT report
In spite of the recent Euro moving up, I see institutions are still lack of buying interest, the move ups are more done by short covering, not by much longs purchase
Institutions Sentiment: Less Bearish
Please note institutions take weeks and months to build a position in the currency market. For Euro, they have started to build their net short positions since 8/14/2018. Therefore, the bearish sentiment is more for a long term outlook, not intended for short term trading.
This week, institutions changed into net longs after 3 consecutive weeks net shorts , which was shown in the latest COT as of Tuesday, Sept 4, 2018.
The institutions net long Euro positions increased this week by 15,182 contracts to positive 7,963 contracts,
1,976 long positions were added, and 15,170 short positions were closed. Now Longs total 173,335 contracts vs shorts total 165,372 contracts .
51% long exposure vs 49% short exposure, which 2% increased in longs and 2% decreased in shorts from the previous week
During week, Euro started at 1.1677, rallied up to 1.1733 high, started its sale off, hit 1.1530 low, 200 pips from its high, closed at 1.1580
Price came to test H4 demand zone 1.1535-1.1490 area. Large orders of shorts were covered , small longs have been added as well , which helped the price to rally up. Price did move up after the COT report
In spite of the recent Euro moving up, I see institutions are still lack of buying interest, the move ups are more done by short covering, not by much longs purchase
Institutions Sentiment: Less Bearish
Please note institutions take weeks and months to build a position in the currency market. For Euro, they have started to build their net short positions since 8/14/2018. Therefore, the bearish sentiment is more for a long term outlook, not intended for short term trading.
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