Gold IG Client Sentiment: Our data shows traders are now at their most net-long Gold since May 19 when Gold traded near 1,841.76.

Number of traders net-short has decreased by 16.63% from last week.

Gold: Retail trader data shows 87.94% of traders are net-long with the ratio of traders long to short at 7.29 to 1. Our data shows traders are now at their most net-long Gold since May 19 when Gold traded near 1,841.76. The number of traders net-long is 6.48% higher than yesterday and 4.12% higher from last week, while the number of traders net-short is 27.19% lower than yesterday and 16.63% lower from last week.

We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Gold prices may continue to fall.

Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger Gold-bearish contrarian trading bias.