Latest Commitment of Traders positions (FX) as at July 12th, 2016

CFTC commitment of traders report was released on Friday (15th July) and cover positions up to Tuesday (July 12th). COT report is not a complete presenter of entire market positions since the future market is relatively smaller compared to Spot FX market. Nevertheless, it presents crucial picture on how key participants are looking at future moves.

Key highlights:

Market participants are net long in all currencies against Dollar, except for the Mexican peso, euro, and the pound.

Shorts increased:

• Euro registered the biggest increase in net short position as speculators increased net short positions by 12,333 contracts to -87.7K contracts.
• The sterling saw its net short position rise by 11,036 contracts to -60K contracts.

Shorts covered:

• Mexican Peso saw the biggest short covering and in the tune of 7,685 contracts, which brought the net short position to -37.2K contracts.

Longs increased:

• Among the group, Australian Dollar saw the biggest increase in net long positions and by 11,313 contracts to +16.2K contracts.
• Canadian dollar longs were increased by 5,658 contracts to +17.1K contracts.

Longs decreased:

• Japanese Yen saw the biggest decrease in net longs as speculation over Bank of Japan’s (BoJ) actions went rampant. Net long position decreased by 16,023 contracts to +47.5K contracts. Swiss Franc saw a covering of net long positions and by 1,960 contracts to +6.7K contracts.

Position flipped to long:

• New Zealand dollar registered an increase in net long positions and by 2,414 contracts making the net position flip from short to long and to +1K contracts.