Market sentiment analysis:
- Trader confidence is broadly neutral at the moment, as many markets trade within narrow ranges.
- Among the exceptions, Bitcoin continues to power ahead and IG client sentiment data are sending a bearish signal on GBP/JPY.
Bearish signal on GBP/JPY
Traders are unsure currently about the next move in the markets generally, with Bitcoin among the few markets not trading in narrow ranges. However, retail traders are increasingly long GBP/JPY and that is sending a bearish contrarian trading signal.
GBP/JPY Price Chart, Daily Timeframe (September 9, 2020 – April 13, 2021)
Chart by IG (You can click on it for a larger image)
of clients are net long.
of clients are net short.
In this webinar, I looked at the trends in the major currency, commodity and stock markets, at the forward-looking data on the economic calendar this week, at the IG Client Sentiment page on the DailyFX website, and at the IG Client Sentiment reports that accompany it.
Recommended by Martin Essex, MSTA
Building Confidence in Trading
— Written by Martin Essex, Analyst and Editor
Feel free to contact me on Twitter @MartinSEssex