Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View More
Bullish Signal for EUR/GBP as Short Positions Jump: Market Sentiment Webinar

Bullish Signal for EUR/GBP as Short Positions Jump: Market Sentiment Webinar

Martin Essex, MSTA,
What's on this page

Market sentiment analysis:

  • Markets are in reasonably good form ahead of the monetary policy decisions this week by the Federal Reserve and the Bank of England, as well as Friday’s US non-farm payrolls data and a meeting of OPEC+.
  • In the meantime, IG client sentiment data are sending out a bullish contrarian trading signal for EUR/GBP.

Trade Smarter - Sign up for the DailyFX Newsletter

Receive timely and compelling market commentary from the DailyFX team

Subscribe to Newsletter

Trader confidence high ahead of policy meetings

Trader confidence is high, with US stock markets not far from their record highs ahead of Wednesday’s monetary policy decision by the Federal Reserve, Thursday’s announcement by the Bank of England and Friday’s US non-farm payrolls data.

That optimism has kept the main US stock market indexes near to their record highs although volumes will likely be low until the Fed and the BoE meetings have ended.

In the meantime, IG client positioning data are sending out a bullish signal for EUR/GBP.

EUR/GBP Price Chart, Daily Timeframe (April 6 – November 2, 2021)

Latest EUR/GBP price chart.

Chart by IG (You can click on it for a larger image)

The retail trader data show 67.77% of traders are net-long EUR/GBP, with the ratio of traders long to short at 2.10 to 1. The number of traders net-long is 11.96% lower than yesterday and 28.21% lower than last week, while the number of traders net-short is 19.26% higher than yesterday and 38.20% higher than last week.

Here at DailyFX, we typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests EUR/GBP 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 EUR/GBP price may soon move higher despite the fact traders remain net-long.

EUR/USD Trading Basics: What Is EUR/USD And Why Trade It?

In this webinar, I looked at the trends in the major currency, commodity and stock markets, at the forward-looking data on the economic calendar this week, at the IG Client Sentiment page on the DailyFX website, and at the IG Client Sentiment reports that accompany it.

Top Trading Opportunities in Q2
Top Trading Opportunities in Q2
Recommended by Martin Essex, MSTA
See the DailyFX Team’s Top Q4 Trading Setups in Our Guide
Get My Guide

--- Written by Martin Essex, Analyst

Feel free to contact me on Twitter @MartinSEssex

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.