NZD/USD speculators back to neutral – Westpac

NZD/USD futures speculators significantly reduced their long positions in August and September, and are now in a near neutral state, notes Imre Speizer, Research Analyst at Westpac.

Key Quotes

“The extreme long positioning at the end of July was a good signal that the NZD was vulnerable to a correction.”

“The unwind can be attributed mainly to a tentative recovery in the US dollar, as well as nervousness about a change of NZ government.”