Shift in Sentiment Leaves GBP Traders Without Clear Direction
GBPUSD: Retail trader data shows 46.3% of traders are net-long with the ratio of traders short to long at 1.16 to 1. The number of traders net-long is 4.3% lower than yesterday and unchanged from last week, while the number of traders net-short is 4.7% lower than yesterday and 8.5% 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. 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 GBPUSD trading bias.
--- Written by Dylan Jusino, DailyFX Research
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