AUD specs short squeeze: extended range ahead?

FXstreet.com (Barcelona) - One interesting takeaway from last week was the short squeeze on Australian Dollar specs, as shown by the futures market speculative positioning data from the CFTC as of the close on Tuesday, Sept 17, 2013.

The latest short specs positioning on the Aussie went from an AUD net short of 60K to 27K, confirming the majority of Aussie shorts were taken out on last weeks squeeze above 95.

According to Sean Lee, Founder at FXWW: "AUD positioning now back at very neutral levels according to most interbank reports", adding that "until something happens to drive the next mini-trend, we can expect extended range trading against all majors."