Why and how do we use the SSI in trading? View our video and download the free indicator here
AUDUSD – The retail forex trading crowd remains aggressively long the Australian Dollar versus the US Dollar, and a contrarian view of ‘herd’ sentiment warns that the AUD/USD may continue onto fresh lows. And indeed the majority of traders in our sample has remained long since the pair crossed below $0.80 in May. Until we see a material shift towards selling we see little reason to abandon our long-standing bearish bias.
See next currency section: NZDUSD - New Zealand Dollar Rally Proves Short-Lived
--- 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
