Money Flow Setups In Yen and Pound

Bullish setups and inflows from connected money brought my attention to the Japanese Yen in early 2010. Traders/investors that have stayed with it have enjoyed a nice run. The slow transition of inflows to outflows and the progression of TIME (cycle), illustrated in the chart below, suggest an aging trend. The Yen should be watched closely for a breach of up trend.

Yen and the Commercial Traders COT Futures and Options Stochastic Weighted Average of Net Long As A % of Open Interest:


Connected money net selling (outflows) in the British pound within the context of a down trend raises the potential for a bearish setup. Connected outflows in the pound could portend another round of official quantitative easing to support a flagging economy. The pound is a reflection of Britain, Inc.

British Pound and the Commercial Traders COT Futures and Options Stochastic Weighted Average of Net Long As A % of Open Interest