Explore eFXplus Derived Data That Drive Results
A Data Partner of:
Refinitiv
Aug 19 - 05:55 AM

EUR/USD - REFILE-BUZZ-COMMENT-EUR/USD Longs Subject To Law Of Diminishing Returns

By Jeremy Boulton  —  Aug 19 - 03:45 AM

Adds chart

Recent EUR/USD buyers are seeing far less bang for their buck and the greater bets on a further rise become, the harder it will be to make a profit.

Since EUR/USD longs reached record levels in late July the pair has made far less upside progress.

In July EUR/USD rose rapidly from 1.1185 to 1.1908.
In August the pair has ground out a further 58 pips, reaching 1.1966 EBS yesterday.

In the two weeks to Aug.
11 traders added EUR 5.2 billion to the long position, taking the total to EUR 24.5 billion.
Given the drive for higher levels since then, the net long position has very likely increased.

Traders who made huge profits in July are likely to be disappointed with gains in August.
Should longs reach greater proportions then they are going to provide even more drag.

EUR/USD has met or nearly achieved three significant targets near 1.2000.
There is never a bad time to book a profit. nL1N2FL07W

For more click on FXBUZ


EUR/USD and longs Click here

Source:
Refinitiv IFR Research/Market Commentary

Subscription

  • eFXplus
  • End-user license agreement (EULA)

About

  • About
  • Contact Us

Legal

  • Terms of Service
  • Privacy Policy
  • Disclaimer
© 2020 eFXdata · All Rights Reserved
!