US Stocks Forecast to Continue Higher until this Changes
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US 500: Retail trader data shows 17.4% of traders are net-long with the ratio of traders short to long at 4.75 to 1. The number of traders net-long is 1.2% lower than yesterday and 1.4% lower from last week, while the number of traders net-short is 3.2% higher than yesterday and 2.6% 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. Positioning is more net-short than yesterday but less net-short from last week. The combination of current sentiment and recent changes gives us a further mixed US 500 trading bias.
See next article in this week’s report: EURUSD - Euro Expected to Rally Further versus Downtrodden US Dollar
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