Retail Sentiment In USDCAD Raises The Probability Of A Long-Awaited Break

USDCAD – The SSI’s contrarian readings are once again being held up to the glare of a stubbornly range-bound USDCAD. Retail positioning has again pulled dangerously close to a negative flip thanks to underlying spot’s steady advance towards resistance - generally accepted around 1.0350. The pair’s sentiment ratio stands at 1.11 following the steady decline from a 1.86 reading and 2.83 figure over the past two weeks respectively. Looking back to the last time the bias in positioning was this aggressive, a plunge to parity happened to match June’s bearish reversal. Clearly, the market is growing more bold in forecasting a similar situation as similar sentiment levels are coming with less volatility and a lower price. Details for the report show longs are 0.4% weaker since yesterday and 10.1% off last week’s levels. Longs on the other hand edged 0.1% lower in 24 hours and were a major 31.8% stronger than last week. Altogether, open interest has grown 5.7 from last week and is 6.8% above the monthly average with resistance in sight.