GBP/USD: Retail Data shows 76.8% of Traders are Net-Long
GBP/USD: Net Long Positions Increase by 9.5% from Last Week
GBP/USD: Retail trader data shows 76.8% of traders are net-long with the ratio of traders long to short at 3.31 to 1. In fact, traders have remained net-long since May 06 when GBP/USD traded near 1.29347; price has moved 6.1% lower since then. The number of traders net-long is 2.7% lower than yesterday and 9.5% higher from last week, while the number of traders net-short is 20.0% higher than yesterday and 4.2% higher from last week.
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GBP/USD: The Combination of Current Sentiment and Recent Changes Suggests Further Mixed Trading Bias
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests GBP/USD prices may continue to fall. Positioning is less net-long than yesterday but more net-long from last week. The combination of current sentiment and recent changes gives us a further mixed GBP/USD trading bias.
-Written by Tammy Da Costa, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.