IMM Positioning; USD Bulls Roared

Published 03/23/2015, 08:25 AM
Updated 05/14/2017, 06:45 AM

The latest IMM data covers the week from 11 March to 17 March 2015 .

Long USD positioning rose ahead of the FOMC meeting last Wednesday as anticipation of a more hawkish Fed grew -- EUR shorts were built . Probably a fair amount of USD longs were liquidated at the end of the week as markets had second thoughts about Fed and the USD, following more dovish FOMC projections. In our view the next leg lower in EUR/USD requires a further clean up on the positioning side before there is room for a new build. A key trigger for a next move lower in EUR/USD could be a narrowing of the currently wide gap between (positive) euro-zone and (negative) US data surprises.

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