Australian Dollar Gives Mixed Trading Bias
Why and how do we use IG Client Sentiment in trading? See our guide.
AUDUSD: Retail trader data shows 57.5% of traders are net-long with the ratio of traders long to short at 1.35 to 1. In fact, traders have remained net-long since May 03 when AUDUSD traded near 0.75395; price has moved 1.4% lower since then. The number of traders net-long is 4.7% higher than yesterday and unchanged from last week, while the number of traders net-short is 2.9% lower than yesterday and 2.9% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests AUDUSD prices may continue to fall. Positioning is more net-long than yesterday but less net-long from last week. The combination of current sentiment and recent changes gives us a further mixed AUDUSD trading bias.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.