Quotes from Danske Bank:
-The latest IMM positioning data released Friday show that speculators reduced their bearish bets in GBP, JPY and EUR vis-à-vis the USD in the week ending 17 February.
-The combined 'short-covering' in the three majors has reduced the aggregate bullish USD bets to levels last seen in December, when year-end and profit taking reduced investor appetite for 'greenback'-exposure.
-Indeed, lately USD strength has seen a breather as US data have surprised to the downside relative to other major economies and most noteworthy the euro zone. However, from a positioning point of view, the IMM data suggest that there should be room for renewed USD strength.
