NUMBER OF TRADERS NET-SHORT HAS INCREASED BY 13.70% FROM LAST WEEK.
Gold: Retail trader data shows 48.27% of traders are net-long with the ratio of traders short to long at 1.07 to 1. Our data shows traders are now at their least net-long Gold since Apr 05 when Gold traded near 2,020.37. The number of traders net-long is 12.04% lower than yesterday and 9.57% lower from last week, while the number of traders net-short is 23.25% higher than yesterday and 13.70% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests Gold prices may continue to rise.
Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger Gold-bullish contrarian trading bias.