New Zealand Dollar Forecast Remains Cautiously Bearish

DailyFX.com -

New Zealand Dollar Forecast Remains Cautiously Bearish

View Real-Time SSI Updates via the FXCM Trading Station Desktop

See a video on why we use the Speculative Sentiment Index as a contrarian indicator in our trading

NZDUSD – Our retail forex data shows that the majority of traders remain long the New Zealand Dollar versus its US namesake, and a contrarian view of crowd sentiment leaves us firmly in favor of selling into NZD/USD declines.

It is perhaps worth noting that positioning has moderated since last week; total open short positions have risen 5 percent while long positions have fallen a sizeable 21 percent. Yet we would have to see a much more meaningful shift and a flip to net-short to call for a worthwhile NZD reversal.

See next currency section: XAUUSD - Gold Prices Show Signs of Life

--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com

To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.

Contact David via

Twitter at http://www.twitter.com/DRodriguezFX

Facebook at http://www.Facebook.com/DRodriguezFX

original source

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.