Retail forex trader data shows that the Australian Dollar likely set a substantial low, while the Japanese Yen might have topped. Here is a rundown of our top trade ideas.
View individual currency sections:
EURUSD - Euro Forecast to hit Fresh Peaks
Weekly Summary of Forex Trader Sentiment and Changes in Positioning
It’s extremely risky to try and time market tops and bottoms, but there’s too much evidence to ignore the possibility that the AUDUSD and USDJPY recently set substantial lows.
I wrote this last week and it remains true: “Our retail sentiment-based trading strategies can be very streaky—they spend a lot of time doing very well or very poorly and not much time in between.” Past performance is not indicative of future results, but highly-volatile forex markets leave us in favor of trading key AUDUSD and JPY reversals via our Momentum2/”Tidal Shift” strategy.
Read full currency pair-by-currency pair rundowns in the links above, and follow future updates on retail sentiment and our trading strategies via my e-mail distribution list.
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--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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