Market Positioning Data Show Retail Traders Long Silver and Gold

Market sentiment analysis:

• IG client sentiment data show that retail traders are overwhelmingly long both silver and gold, and that’s sending contrarian bearish signals for both precious metals
• More generally, the markets seem to be pausing for breath, with a firmer US Dollar sending most other currencies lower.

Trader sentiment data send bearish signals for silver and gold

IG client sentiment data show that traders are overwhelmingly long both gold and silver, as well as cryptocurrencies Litecoin and Ether. At DailyFX, we typically take a contrarian view to crowd sentiment and the data are therefore sending bearish signals for both precious metals.

The positioning of traders can be seen in the chart below, where SI is silver and GC is gold.

The resulting signals can be seen in the following table:

Source: IG/DailyFX

of clients are net long.


of clients are net short.

Change in	Longs	Shorts	OI
Daily	3%	-12%	2%
Weekly	3%	-45%	-3%

of clients are net long.


of clients are net short.

Change in	Longs	Shorts	OI
Daily	8%	-14%	4%
Weekly	1%	-13%	-1%

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. You might also like to check out the DailyFX Trading Global Markets Decoded podcasts.

— Written by Martin Essex, Analyst and Editor

Feel free to contact me on Twitter @MartinSEssex