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Germany 30: Retail trader data shows 33.4% of traders are net-long with the ratio of traders short to long at 1.99 to 1. In fact, traders have remained net-short since Apr 20 when Germany 30 traded near 11981.6; price has moved 6.2% higher since then. The number of traders net-long is 6.4% lower than yesterday and 42.3% higher from last week, while the number of traders net-short is 13.1% lower than yesterday and 28.7% lower from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests Germany 30 prices may continue to rise. Yet traders are less net-short than yesterday and compared with last week. Recent changes in sentiment warn that the current Germany 30 price trend may soon reverse lower despite the fact traders remain net-short.