Gold: Net-Long Positions Increase from Yesterday
RETAIL TRADERS REMAIN NET-LONG
Spot Gold: Retail trader data shows 68.4% of traders are net-long with the ratio of traders long to short at 2.16 to 1. The number of traders net-long is 8.9% higher than yesterday and 3.6% lower from last week, while the number of traders net-short is 0.2% higher than yesterday and 4.2% lower from last week.
For more in-depth analysis, check out the Q1 2019 Forecast for Gold
RECENT CHANGES SUGGEST A STRONG BEARISH 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. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger Spot Gold-bearish contrarian trading bias.
--- Written by Nancy Pakbaz, CFA, DailyFX Research
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.