SS says
Please see chart below
Pls see middle portion of chart
This line in BLUE is the hedge fund buy / sell activity on EUR
When EUR was at 149 this year - HFs were crazy and in love with EUR and most bullish
This love and bullishnes was even above 2009 when EUR was at 150
At the peak in EUR in 2009 and in 2011 - HFs were massively long EUR
We can see how it turned out in 2009
EUR went from 150 to 118 in 2010 and HFs lost money on that trade
The same is about to happen again
EUR peaked at 149 and HFs were most bullish
Now I think EUR is own its way down and slowly trade out at a loss and will be most bearish at the bottom
When the time to buy is at hand - near a bottom - they will be scared and most bearish and will not participate in that trade
This happened in summer 2010 - when EUR was at 118 - they called for the end of EUR and were most bearish
As we can see they were short EUR in summer 2010 at 118 and lost money when EUR surged from 118 to 149
Please see chart below
Pls see middle portion of chart
This line in BLUE is the hedge fund buy / sell activity on EUR
When EUR was at 149 this year - HFs were crazy and in love with EUR and most bullish
This love and bullishnes was even above 2009 when EUR was at 150
At the peak in EUR in 2009 and in 2011 - HFs were massively long EUR
We can see how it turned out in 2009
EUR went from 150 to 118 in 2010 and HFs lost money on that trade
The same is about to happen again
EUR peaked at 149 and HFs were most bullish
Now I think EUR is own its way down and slowly trade out at a loss and will be most bearish at the bottom
When the time to buy is at hand - near a bottom - they will be scared and most bearish and will not participate in that trade
This happened in summer 2010 - when EUR was at 118 - they called for the end of EUR and were most bearish
As we can see they were short EUR in summer 2010 at 118 and lost money when EUR surged from 118 to 149
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