Euro Forecast to Continue Higher On Sentiment Shift
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EURUSD: Retail trader data shows 32.1% of traders are net-long with the ratio of traders short to long at 2.11 to 1. The number of traders net-long is 22.6% lower than yesterday and 53.8% lower from last week, while the number of traders net-short is 21.8% higher than yesterday and 57.2% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests EURUSD prices may continue to rise. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger EURUSD-bullish contrarian trading bias.
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