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COT Currency Report Data 03 23 2010

|Includes: CurrencyShares British Pound Sterling Trust ETF (FXB), FXC, FXE, FXF, FXY, UDN
Overview: Open interest (NYSE:OI) during the period had healthy growth, lead by the large increase in the euro, 39,899 contracts and the A$, with 16,574.  The total OI increase was 47,793 despite a reduction of 27,462 contracts in the C$, liquidation related to the expiring March contract.  Total spec positions versus the USD are evenly balanced with a net US$ short of 1196 contracts, but specs are heavily long the dollar versus the pound and the euro, long the DI, and short the US$ versus the C$ and the A$. 

The small specs largest long percentage of the total OI is in the SF 38.9%, and the C$ at 30.1%.  Largest small spec short positions are in the SF 28.8%, the Yen 27.9%, and the pound, 22.9%.  The most popular long positions by the large spec is in the NZ$ 77.4%, and the DI 72.7%.  The large specs are also long 57.6% of the A$ and 55.4% of the C$.  Large specs biggest short position is again in the pound 56.2%, followed by euro at 47.7%.  Large and small specs are on different sides of the market in the yen and the SF. 

Trends in currencies often last much longer than expected, so a contrarian trader must be patient.  That said, the time will come to buy the pound and sell the C$ or the A$.  The pound has lost almost 2000 pips to the C$ since late January.

For the complete report with numerical summary of the weekly COT activity and further analysis,  go to

Disclosure: no positions