British Pound Sentiment Flips to Net-Short - We Prefer Buying
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GBPUSD: Retail trader data shows 46.9% of traders are net-long with the ratio of traders short to long at 1.13 to 1. The number of traders net-long is 4.3% lower than yesterday and 35.8% lower from last week, while the number of traders net-short is 5.2% higher than yesterday and 81.5% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests GBPUSD 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 GBPUSD-bullish contrarian trading bias.
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