🧮 Leveraged Funds Now Hold Extended Long NZD Bets: Cable FX Macro

**As seen in IMM Positioning report 05/19/23, subscribe at cablefxm.co.uk/reports

• Last week, CFTC data showed a marginal change in the broad cumulative dollar positioning, hedge funds now hold a net long USD at 3.5% of open interest. The Japanese yen position saw the net short built, while the franc, pound, loonie, and the Aussie saw a cut of net shorts

• Leveraged funds' net long position in the kiwi was raised from the prior week, the % of open interest moved up by 3.8 percentage points to 11.8%. Looking back at 5-years of historical data, this now leaves the net long at extended levels as % of OI is now above its 1-standard deviation band

• Prior to this one, we have seen investors taking its net long NZD futures position to extended readings three times so far this year; late January, late February, and early May. The kiwi failed to hold gains on every single one of these episodes