GBP/USD: Net-Long Positions Continue to Rise
GBP/USD: Net-Short Positions Decrease by 14.4% from Last Week
GBP/USD: Retail trader data shows 78.6% of traders are net-long with the ratio of traders long to short at 3.67 to 1. In fact, traders have remained net-long since May 06 when GBP/USD traded near 1.29811; price has moved 6.2% lower since then. The number of traders net-long is 0.7% lower than yesterday and 1.2% lower from last week, while the number of traders net-short is 0.9% higher than yesterday and 14.4% lower 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.