PRICE MOVED 0.3% LOWER SINCE APRIL 12
EURUSD: Retail trader data shows 51.1% of traders are net-long with the ratio of traders long to short at 1.05 to 1. In fact, traders have remained net-long since Apr 12 when EURUSD traded near 1.12763; price has moved 0.3% lower since then. The number of traders net-long is 7.2% lower than yesterday and 20.3% lower from last week, while the number of traders net-short is 6.8% higher than yesterday and 10.6% higher from last week.
To gain more insight in how we use sentiment to supplement a strategy, join us for one of our weekly webinars on how to “Identify Trends with Sentiment”:
(click on one of the above times to enroll)
EURUSD SENTIMENT WARN THAT PRICE TREND MAY SOON REVERSE
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests EURUSD prices may continue to fall. Yet traders are less net-long than yesterday and compared with last week. Recent changes in sentiment warn that the current EURUSD price trend may soon reverse higher despite the fact traders remain net-long.
— Written by Nancy Pakbaz, CFA, DailyFX Research
Follow Nancy on Twitter @NancyPakbazFX