Midday Forex Snapshot – October 2, 2017

We’re halfway through this week’s first trading day, and it’s time for the Midday Snapshot. The last 12 hours have been bearish for Euro/Dollar, and a loss of 78 pips left it to 0.59% in the red at midday.

Trading has been slower than usual, and the sentiment is neutral at 9% long. Bears have been in better positions so far. The Cable has been trending lower for much of the session, losing a total of point 79% or 112 pips. Traded volume is one fifth down from the monthly average, but most traders have anticipated the decline, as short positions prevail by 36%. Profits are very likely, although more funding would’ve increased them. Dollar/Yen’s initial gain of 46 pips was followed by a decline, but it still was point 16% up from the opening level at noon. This pair sees less than half the usual volume, and the neutral traders’ sentiment stands at 4% long. The low volume suggests any major shifts in funds are unlikely. Pound/Yen has had a bearish session, losing point 63% or 103 pips by 12 o’clock, but, once again, trading has been slow. The sentiment is neutral at 11% long. Bears actually had some great opportunities today, but losses are likely for bulls. And Euro/Yen’s loss of 75 pips left it to point 43% in the red at noon. Trading has been somewhat slower than usual, and the sentiment is pretty much the opposite of the rate movement, as it’s bullish at 46% long. Losses are likely, if not guaranteed for most traders, but the lower volume could soften the blow.