Gold Sentiment is Unable to Provide a Clear Direction
74% of Traders are Net-Long
Spot Gold: Retail trader data shows 74.7% of traders are net-long with the ratio of traders long to short at 2.96 to 1. The number of traders net-long is 1.6% higher than yesterday and 1.9% higher from last week, while the number of traders net-short is 4.9% lower than yesterday and 19.7% higher from last week.
To gain more insight to how we use sentiment to power our trading, join us for our weekly Trading Sentiment webinar.
Gold Sentiment Prompts a Mixed Bias
We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Spot Gold prices may continue to fall. Positioning is more net-long than yesterday but less net-long from last week. The combination of current sentiment and recent changes gives us a further mixed Spot Gold trading bias.
--- Written by Fan Xu, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.