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CFTC commitment of traders: EUR and GBP shorts are cut in the current week

Forex positioning and data in the futures market for the close of trading on Tuesday, September 13, 2016

The weekly commitment of traders report outlines the speculative positions for each currency as of the close of business on Tuesday. It is a snapshot of the past. So in reality the speculative positions are different today. However, traders like to use them to gauge interest, or perhaps even oversold or overbought market conditions. For example if the positions are at a record short, the speculators are confident about the position, but given a catalyst that might lead to the currency moving the other way, that momentum could lead to a snap back rally on the back of short covering.

As such, it is a secondary trading tool, that may give a trading bias given a primary trading tool. Make sense?

The following are the current speculative positions and how that compares to the prior weeks numbers.

  • EUR 81K short vs. 93K short last week
  • GBP 83K short vs. 90K short last week
  • JPY 57K long vs. 54K long last week
  • CHF 1.3K long vs. 1.4K long last week
  • CAD 17K long vs 21K long last week
  • AUD 36K long vs. 39K long last week
  • NZD 5.1K long vs. 6.1K long last week

The GBP net short position has been cut to 83K in the current week. The largest short was at -95K in the week of August 23. This is the third week in a row that the position has been cut.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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