EURUSD Tests Resistance Level With Mixed Bias
Traders Remain Net-Long Since Apr 30
EURUSD: Retail trader data shows 53.7% of traders are net-long with the ratio of traders long to short at 1.16 to 1. In fact, traders have remained net-long since Apr 30 when EURUSD traded near 1.22322; price has moved 3.5% lower since then. The number of traders net-long is 6.0% higher than yesterday and 3.7% lower from last week, while the number of traders net-short is 4.8% higher than yesterday and 0.2% lower from last week.
EUR/USD Sentiment Doesn't Give Clear Signal
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests EURUSD prices may continue to fall. Positioning is more net-long than yesterday but less net-long from last week. The combination of current sentiment and recent changes gives us a further mixed EURUSD trading bias.
--- Written by Abdullah AlAmoudi, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.