EURUSD – Euro Forecast Remains Bullish on Sentiment Extremes GBPUSD – British Pound Forecast to Lose Further USDJPY – Japanese Yen Predicted to Rally vs US Dollar USDCHF – Swiss Franc Trading Bias Strongly Bullish on Sentiment USDCAD – Canadian Dollar Forecast to Gain Further While the SSI is available once a week on DailyFX.com, you can receive SSI readings twice a day in DailyFX Plus Forex Intraday Trading Signals Forex trading crowds remain very aggressively long US Dollars against most major counterparts, giving us contrarian signal to sell into US Dollar weakness. Indeed, an incredible 84% of traders are long the US currency versus the Swiss Franc, while a similarly substantial 74% have bought the Greenback against the Japanese Yen. Market sentiment very clearly remains at extremes, and we see few signs that the US Dollar will reverse through upcoming trade. Indeed, we will wait for signs of trading crowd capitulation before calling for a US dollar reversal. EURUSD - The ratio of long to short positions in the EURUSD stands at -2.30 as nearly 70% of traders are short. Yesterday, the ratio was at -2.65 as 73% of open positions were short. In detail, long positions are 6.9% higher than yesterday and 13.7% stronger since last week. Short positions are 7.2% lower than yesterday and 4.0% stronger since last week. Open interest is 3.3% weaker than yesterday and 9.8% above its monthly average. The SSI is a contrarian indicator and signals more EURUSD gains. GBPUSD - The ratio of long to short positions in the GBPUSD stands at 1.52 as nearly 60% of traders are long. Yesterday, the ratio was at 1.34 as 57% of open positions were long. In detail, long positions are 13.3% higher than yesterday and 47.3% stronger since last week. Short positions are 0.2% lower than yesterday and 38.5% weaker since last week. Open interest is 7.5% stronger than yesterday and 5.2% above its monthly average. The SSI is a contrarian indicator and signals more GBPUSD losses.

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