Australian Dollar Sentiment Points to Further Losses
AUDUSD: Retail trader data shows 53.4% of traders are net-long with the ratio of traders long to short at 1.15 to 1. The number of traders net-long is 0.8% higher than yesterday and 15.3% higher from last week, while the number of traders net-short is 0.3% higher than yesterday and 8.3% lower 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. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger AUDUSD-bearish contrarian trading bias.
--- Written by Dylan Jusino, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.