Forex Crowd Sentiment Points to Further Euro Gains
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EURUSD - The ratio of long to short positions in the EURUSD stands at -2.57 as 28% of traders are long. Yesterday the ratio was -2.48; 29% of open positions were long. Long positions are 5.9% lower than yesterday and 22.7% below levels seen last week. Short positions are 2.7% lower than yesterday and 12.9% above levels seen last week. Open interest is 3.6% lower than yesterday and 0.5% below its monthly average. We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are short gives signal that the EURUSD may continue higher. The trading crowd has grown further net-short from yesterday and last week. The combination of current sentiment and recent changes gives a further bullish trading bias.
See next currency section: GBPUSD - Positioning Data Leaves us in Favor of buying British Pound
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.