Retail Sentiment Snapshot: Gold, Oil, and USD/CHF Positioning Analysed
Oil prices have dropped sharply as fears of a global economic slowdown takes hold. If restrictive monetary policy weighs too heavily on economic activity, countries will demand less oil as industries are less likely to be expanding. In addition, consumers tend to tighten their belts, deciding to drive less and go on fewer holidays which can further affect the amount of fuel demanded in the economy.
Current data indicates that 87.40% of retail traders hold long positions, with a long-to-short ratio of 6.94 to 1. Compared to yesterday, there is a 4.94% decrease in long positions, but a 15.01% increase from last week. Short positions have increased by 9.72% since yesterday but decreased by 26.85% from last week.
Given the high percentage of long positions, our contrarian approach suggests a potential downward trend in US Crude Oil prices. However, the mixed changes in positioning over different time frames present a mixed trading outlook.
Share This Post
Oil prices have dropped sharply as fears of a global economic slowdown takes hold. If restrictive monetary policy weighs too heavily on economic activity, countries will demand less oil as industries are less likely to be expanding. In addition, consumers tend to tighten their belts, deciding to drive less and go on fewer holidays which can further affect the amount of fuel demanded in the economy.
Current data indicates that 87.40% of retail traders hold long positions, with a long-to-short ratio of 6.94 to 1. Compared to yesterday, there is a 4.94% decrease in long positions, but a 15.01% increase from last week. Short positions have increased by 9.72% since yesterday but decreased by 26.85% from last week.
Given the high percentage of long positions, our contrarian approach suggests a potential downward trend in US Crude Oil prices. However, the mixed changes in positioning over different time frames present a mixed trading outlook.
Current data indicates that 87.40% of retail traders hold long positions, with a long-to-short ratio of 6.94 to 1. Compared to yesterday, there is a 4.94% decrease in long positions, but a 15.01% increase from last week. Short positions have increased by 9.72% since yesterday but decreased by 26.85% from last week.
Given the high percentage of long positions, our contrarian approach suggests a potential downward trend in US Crude Oil prices. However, the mixed changes in positioning over different time frames present a mixed trading outlook.