FOREX ANALYSIS: Crowds Sell Euro, We Favor Gains

ssi_eur-usd_body_Picture_6.png, FOREX ANALYSIS: Crowds Sell Euro, We Favor Gains

Retail forex trading crowds have sold aggressively into Euro strength against the US Dollar (ticker: USDOLLAR), and indeed short interest has hit fresh year-to-date peaks. We most often take a contrarian view to crowd sentiment; if most traders are short, we prefer to go long. And indeed we see risks that the EURUSD continues to trade above the psychologically significant $1.30 mark.

Two of our SSI-based trading strategies have most recently gone long EURUSD from 1.2944 and 1.2984, but it remains important to watch how the Euro reacts to key resistance near the $1.3130 figure.

--- 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.

New to FX markets? Learn more in our video trading guide.

Contact David via

Twitter at https://www.twitter.com/DRodriguezFX

Facebook at http://www.Facebook.com/DRodriguezFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.

--

Get stories like this on the Yahoo app and discover more every day.
Download it now.
Loading...
 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.171-0.004-2.29%
    N21.SI
    0.187+0.002+1.08%
    40E.SI
    2.59+0.01+0.39%
    MC0.SI
    0.865-0.005-0.57%
    Y92.SI
    0.4150.0000.00%
    5ME.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.205+0.035+20.59%
    BCV.SI
    0.35+0.05+16.67%
    AWC.SI
    0.60+0.06+11.11%
    P9D.SI
    0.40+0.03+8.11%
    BKK.SI
    0.19+0.01+7.95%
    BTJ.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.098-0.022-18.33%
    J17.SI
    0.425-0.045-9.57%
    BTF.SI
    0.515-0.045-8.04%
    BQD.SI
    0.75-0.06-7.41%
    ATL.SI
    0.21-0.02-6.67%
    AXH.SI

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.4224-0.0076-0.53%
    USDSGD=X
    1.5150-0.0004-0.03%
    EURSGD=X
    1.7232+0.0039+0.23%
    GBPSGD=X
    79.6510-0.111-0.14%
    SGDJPY=X
    5.4509+0.0307+0.57%
    SGDHKD=X
    3.1367+0.0144+0.46%
    SGDMYR=X
    9,382.0332+5.6191+0.06%
    SGDIDR=X
    4.8374+0.0144+0.30%
    SGDCNY=X
    1.0693+0.0011+0.10%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,210.70+14.50+1.21%
    GCG17.CMX
    16.95+0.19+1.13%
    SIH17.CMX
    87.04+0.81+0.94%
    ^XAU
    2.63-0.06-2.40%
    HGH17.CMX
    52.30-0.07-0.13%
    CLG17.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.88+0.02
    ^FVX
    2.38+0.02
    ^TNX
    2.98+0.02
    ^TYX