Declining Open Interest Noted, but Crowd Remains Heavily Short SPX500
Markets

Declining Open Interest Noted, but Crowd Remains Heavily Short SPX500

DailyFX.com -

Declining Open Interest Noted, but Crowd Remains Heavily Short SPX500

SPX500 - The ratio of long to short positions in the SPX500 stands at -4.70 as 18% of traders are long. Yesterday the ratio was -4.80; 17% of open positions were long. Long positions are 0.5% lower than yesterday and 25.9% below levels seen last week. Short positions are 2.4% lower than yesterday and 11.3% below levels seen last week. Open interest is 2.1% lower than yesterday and 21.1% below its monthly average. We use our SSI as a contrarian indicator to price action, and the fact that the majority of traders are short gives signal that the SPX500 may continue higher. The trading crowd has grown less net-short from yesterday but further short since last week. The combination of current sentiment and recent changes gives a further mixed trading bias.

Read more: Crowd Still Net-Short GBP/USD as YouGov Poll Shows Remain at 51%

--- Written by Chris topher Vecchio, Currency Strategist

To cont act Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher's e-mail distribution list, please fill out this form

original source

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 .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx

Latest Markets Videos