Originally published by AxiTrader
While the last trading week was a poor one for the US dollar, large speculators appear to be slightly more optimistic about the outlook for the currency. The latest positioning data from the CFTC showed a decent amount of US dollar net buying.
Euro long positioning declined from 141k to 128k. It is not surprising though, that speculators want to book some profits after the rally that the euro has seen recently. Further, euro long positioning remains at a historically elevated level.
Pound long positions were trimmed by 13k to 15k. However, the recent comeback above 1.40 likely led to some further momentum buying,
Meanwhile, yen bears show amazing resilience. Despite a decline of 500 pips since the beginning of the year and no signs that USD/JPY could find a bottom soon, large speculators remain very bearish on the yen. Net positioning currently stands at 115k short, up 2k from the previous last week.
The interest in commodity currencies has declined. Canadian dollar long positioning dropped by 7k to 33k, while Australian dollar long positioning declined from 14k to 9k. Meanwhile, New Zealand dollar net positioning stands at 2k long (vs. 3k long previously).
