Fresh Highs in SPX500 Seem Likely as Crowds Aggressively Short
SPX500 –Retail CFD speculators remain heavily short the SPX500 as the contract trades near all-time highs, and we favor buying into strength.
Trade Implications – Our retail sentiment data shows that the number of orders short SPX500 outnumber those long by a massive 6.7 to 1. This ratio is roughly unchanged from last week, and heavily one-sided retail positions leave us in favor of continued strength.
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.