S&P 500 Set to Rise despite Short Positions
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US 500: Retail trader data shows 24.5% of traders are net-long with the ratio of traders short to long at 3.09 to 1. The number of traders net-long is 20.4% higher than yesterday and 10.0% higher from last week, while the number of traders net-short is 9.9% higher than yesterday and 5.1% lower from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests US 500 prices may continue to rise. Yet traders are less net-short than yesterday and compared with last week.