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.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Euro Targets Highs on Crowd Sentiment

Euro Targets Highs on Crowd Sentiment

2012-02-23 16:00:00
David Rodriguez, Head of Product
Share:
ssi_eur-usd_body_Picture_7.png, Euro Targets Highs on Crowd Sentiment

EURUSD – We continue to call for further Euro strength as trading crowds remain short and continue selling into rallies. Our Speculative Sentiment Index data shows that the number of traders short the EURUSD outnumber those long by -1.91; 66 percent of traders are short. Said ratio first turned negative when the pair broke above $1.27, and we have little reason to stray from our bullish bias.

It is further worth noting that the absolute level of short interest is now at multi-week highs; shorts are up 13% since last week. Long positions have actually fallen 6% through the same stretch, and the overall crowd bias is increasingly clear.

As we argued in last week’s Euro forecast, there is considerable risk that the EURUSD could trade significantly higher. We see little major technical resistance until the December high near $1.3550.

How do we interpret the SSI? Watch an FXCM Expo Presentation that explains the SSI.

--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com

To receive the SSI via e-mail and other reports from author David Rodríguez, e-mail subject line “Distribution List” to drodriguez@dailyfx.com

Contact David via Twitter at http://www.twitter.com/DRodriguezFX

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

DISCLOSURES

News & Analysis at your fingertips.