NUMBER OF TRADERS NET-LONG HAS DECREASED BY 5.4% LOWER THAN YESTERDAY
EURUSD: Retail trader data shows 46.2% of traders are net-long with the ratio of traders short to long at 1.17 to 1. The number of trader’s net-long is 5.4% lower than yesterday and 28.0% lower from last week, while the number of trader’s net-short is 4.2% higher than yesterday and 28.2% higher from last week.
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EURUSD SENTIMENT INDICATES A BULLISH SIGNAL
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests EURUSD prices may continue to rise. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger EURUSD-bullish contrarian trading bias.
-Written by Warren Venketas, DailyFX Research