EUR/USD: Weekly Long Positions Climb 10%
Net-Short Positions Drop 10% Since Last Week
EURUSD: Retail trader data shows 56.3% of traders are net-long with the ratio of traders long to short at 1.29 to 1. In fact, traders have remained net-long since Oct 01 when EURUSD traded near 1.15754; price has moved 0.7% lower since then. The number of traders net-long is 10.4% higher than yesterday and 0.5% lower from last week, while the number of traders net-short is 6.8% lower than yesterday and 10.5% higher from last week.
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Mixed Bias Lurks Over EUR/USD
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.
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--- Written by Jake Schoenleb, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.