The latest IMM data covers the week from 12 to 19 November.
Net long dollar positions added in the week ending 19 November. Investors added aggregate dollar longs from $13.4 billion to $15.7 billion in the week leading up to the FOMC minutes released 20 November. Net long USD positions are stretched from a historical perspective but compared to the level reached in June this year of close to $40 billion there is still room to add USD longs. Especially against EUR where positioning is close to neutral both on an absolute level and in a historical context. See the graph to the right that gives an overview of positioning in different currencies.
Investors added further to JPY net shorts and positioning in the USD/JPY is now stretched both in historical and absolute terms. However, note that taking a 'contrarian' view on JPY positioning has not been a profitable strategy. See in that respect the graphs on page 9 that depict return on trend following strategies and contrarian strategies, respectively.
Finally, note that the AUD/NZD cross remains stretched. The market has added further to net short AUD positions and net long NZD positions.
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