AUD/JPY IG Sentiment: Traders’ Net-Long Positions Hit Peak Since Late July
Surge in Retail Traders’ Net-Long Positions
Retail trader data reveals that 60.00% of traders are net-long on AUD/JPY, with a long-to-short ratio of 1.50 to 1. This marks the highest net-long position since July 26, when AUD/JPY traded around 100.60. The number of traders holding net-long positions has decreased by 5.34% since yesterday and 5.80% from last week. Conversely, the number of traders with net-short positions has dropped by 25.29% since yesterday and 20.25% from last week.
Contrarian Perspective Suggests Potential Decline
Analysts often adopt a contrarian stance to crowd sentiment. Given that traders are predominantly net-long, this suggests that AUD/JPY prices may continue to decline.
Increasing Bearish Sentiment
With traders more net-long compared to yesterday and last week, the combination of current sentiment and recent trends reinforces a stronger bearish contrarian trading bias for AUD/JPY.
