GBP/USD Client Positioning

Variety of merchants net-short has decreased by 28.84% from final week.

SYMBOL

TRADING BIAS

NET-LONG%

NET-SHORT%

CHANGE IN LONGS

CHANGE IN SHORTS

CHANGE IN OI

GBP/USD

BEARISH

50.23%

49.77%

2.85%
Every day

32.43%
Weekly

-13.96%
Every day

-28.84%
Weekly

-6.26%
Every day

-7.30%
Weekly

GBP/USD: Retail dealer knowledge exhibits 50.23% of merchants are net-long with the ratio of merchants lengthy to brief at 1.01 to 1. In reality, merchants have remained net-long since Jul 20 when GBP/USD traded close to 1.27, value has moved 1.18% larger since then. The variety of merchants net-long is 2.85% larger than yesterday and 32.43% larger from final week, whereas the variety of merchants net-short is 13.96% decrease than yesterday and 28.84% decrease from final week.

We sometimes take a contrarian view to crowd sentiment, and the very fact merchants are net-long suggests GBP/USD costs could proceed to fall.

Our knowledge exhibits merchants are actually net-long GBP/USD for the primary time since Jul 20, 2020 when GBP/USD traded close to 1.27. Merchants are additional net-long than yesterday and final week, and the mixture of present sentiment and up to date modifications provides us a stronger GBP/USD-bearish contrarian buying and selling bias.