Gold–Retail forex traders have bought into Gold Price weakness against the US Dollar (ticker: USDOLLAR), and a contrarian view of crowd sentiment leaves us in favor of further Gold price losses.
Trade Implications – Gold: There are currently more than two retail traders long Gold for every one that is short, and indeed that ratio has grown since last week. Our Senior Technical Strategist has advocated going long Gold as long as it remains above 1575, but retail sentiment suggests there is scope for short-term declines within the broader uptrend.
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.
View how to automate the high-volatility Breakout2 Trading System via our previous article and webinar recording.
Auto trade the trend reversal-trading Momentum2system via our previous article and webinar recording.
Trade with strong trends via our Momentum1 Trading System and view an archived webinar
Use our counter-trend Range2 Trading system and view an archived webinar guide on automation
New to FX markets? Learn more in our video trading guide.
Contact David via
Twitter at http://www.twitter.com/DRodriguezFX
Facebook at http://www.Facebook.com/DRodriguezFX
