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.

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
Subscribe
Please try again
More View more
Euro Rallies Seem a Little too Obvious

Euro Rallies Seem a Little too Obvious

David Rodriguez, Head of Product
ssi_eur-usd_body_Picture_9.png, Euro Rallies Seem a Little too Obvious

Receive the Weekly Speculative Sentiment Index report via PDF via David’s e-mail distribution list.

EURUSDRetail FX traders are near their most net-short the Euro versus the US Dollar on record, warning of a potential sentiment extreme and increasing risks of a near-term EURUSD top.

Trade Implications – EURUSD: Extremes are only clear in hindsight, and as such the consistent crowd Euro selling has actually kept us bullish for some time now. In fact our sentiment-based Momentum2strategy remains long from $1.3649.

Yet the record net-short position warns that further EURUSD upside will likely be limited. It’s unusual to see currencies stage major reversals mid-month, but there’s high risk of a near-term top heading into the final weeks of December and the calendar year.

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

ssi_eur-usd_body_Picture_10.png, Euro Rallies Seem a Little too Obvious

Automate our SSI-based trading strategies via Mirror Trader free of charge

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

Facebook at http://www.Facebook.com/DRodriguezFX

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

DISCLOSURES