Euro Mixed Based on Shift in Sentiment
EURUSD: Retail trader data shows 29.4% of traders are net-long with the ratio of traders short to long at 2.4 to 1. The number of traders net-long is 8.5% higher than yesterday and 8.7% lower from last week, while the number of traders net-short is 0.4% lower than yesterday and 4.2% 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. Positioning is less net-short than yesterday but more net-short from last week. The combination of current sentiment and recent changes gives us a further mixed EURUSD trading bias.
--- Written by Dylan Jusino, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.