SSI: The Speculative Sentiment Index
The FXCM Speculative Sentiment Index provides an in-depth look at how retail FX traders are positioned and provides unique insight into market price moves and overall direction. Unlike major equities or futures markets, there is no single centralized exchange for forex trading. Such decentralized activity makes finding uniform volume or open interstest data impossible. DailyFX fills the gap by offering access to FXCM's proprietary volume and positioning information.
View the FXCM Speculative Sentiment Index in Real-Time
The SSI is reported Every Thursday at DailyFX.com and twice every trading day inside DailyFX PLUS.
British Pound Expected to Trade Lower
Why and how do we use the SSI in trading? View our video and download the free indicator here
GBPUSD–Aggressively one-sided retail forex trader sentiment warns that the British Pound may continue lower versus the US Dollar. Our data sample shows that 58 percent of all open retail trader positions in the GBP/USD are long, and a contrarian view of crowd sentiment points to losses.
We will need to see a substantive turn towards GBP-selling to change our USD-bullish trading bias.
See next currency section:USDCAD - US Dollar Likely to Strengthen versus Canadian Dollar
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.
Contact David via
Twitter at http://www.twitter.com/DRodriguezFX