Market Analysis

US Dollar in Neutral, GBP/USD The Largest Bull Bet

US dollar, EUR / USD, GBP / USD, COT Report – Analysiss

  • USD The opposite properties disappear when the short squeezing stabilizes
  • GBP/ USD remains the biggest bull bet
  • General positioning changes are muted

US Dollar Neutral, GBP / USD Biggest Bull Bet – COT report

In the last CFTC reporting week, the short squeezing of the USD had begun to stabilize, which later coincided with the loss of better greenback results. In addition, because the USD is in neutral territory, it has few contradictory characteristics to dictate price behavior. Elsewhere, positioning changes in the program were dampened Euro, which saw a slight rebound in net lengths of $ 100 million and a z-score of 0.44 (over a 3-year retrospective), positioning is no longer at an extreme level. In all commodity currencies (AUD, CAD, NZD), positioning changes were muted everywhere.

The largest change in net position was in pounds, where net lengths increased by $ 485 million to $ 2.2 billion. This move was largely due to fast cash accounts (leveraged funds), which in turn had shown an improvement in the domestic GBP. Although I have previously emphasized that the positioning of the pound is said to be at a stretched level (according to the z-score and percentile), it is important to note that in recent years the positioning has been due to Brexit uncertainty and thus largely skewed. The improvement in the fundamentals of the United Kingdom appears to be excessive, even in a modest net currency, thanks to a rapid vaccination program and a plan to abolish locking measures. As has been said, although the euro has had a higher corrective movement, I am in favor of an extended setback. EUR / GBP.



customers are network long.



customers are net short.

Change in

Long

Shorts

Hello

Everyday 0% 0% 0%
Every week -28% 13% -14%

Weekly FX positioning

US Dollar Neutral, GBP / USD Biggest Bull Bet - COT Report

Source: CFTC, DailyFX (covers until April 13th, was published on April 16th)

Analytical capabilities of the COT report

How to Read a CFTC Report |

US dollar Positioning

US Dollar Neutral, GBP / USD Biggest Bull Bet - COT Report

Source: Refinitiv, DailyFX

GBP / USD positioning

US Dollar Neutral, GBP / USD Biggest Bull Bet - COT Report

Source: Refinitiv, DailyFX

EUR/ USD positioning

US Dollar Neutral, GBP / USD Biggest Bull Bet - COT Report

Source: Refinitiv, DailyFX

Contact IG for a complete COT FX distribution.

Tags

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close