Forex futures market speculative positioning data from the CFTC Commitments of Traders report as of the close on Tuesday, March 25, 2014:
- EUR net long 40K vs long 53K prior
- JPY net short 69K vs short 62K prior
- GBP net long 30K vs long 26K prior
- AUD net short 21K vs short 24K prior
- CAD net short 33K vs short 70K prior
- CHF net long 15K vs long 15K prior
- NZD net long 18K vs long 16K prior
Anyone holding a USD/CAD long should feel a bit better after reading this report. It was a crowded trade in last week’s report but more than half of the bets were taken off and that’s reflected in the swift fall. The declines have extended since the close on Tuesday and a good portion of the remaining 33K net shorts have probably squared up. With the squeeze over, it will be more difficult for USD/CAD to continue lower.
Canadian dollar CFTC net position
The other notable move was the fall in euro longs. From March 18-25. the euro fell only 108 pips and the drop in longs shows how jittery the market is whenever it bets on the euro.
