Market sentiment analysis:
- The volatility of global stocks and more rises in the gold price suggest market sentiment is poor.
- However, in the forex markets there has been little sign of a surge in demand for haven currencies such as the US Dollar, Japanese Yen and Swiss Franc.
Trader sentiment down but not out
While some measures of market sentiment suggest a decline in trader confidence, there are few signs yet of a surge in demand for safe-haven currencies, although the strength of the gold price implies that some traders at least are opting for the relative safety of the pressure metal.
Copper Price Chart, Daily Timeframe (April 25 – August 27, 2019)
Chart by IG (You can click on it for a larger image)
In this webinar, I looked at the charts of the major currencies, stock markets and commodities, at the sentiment indicators on the calendar this week and at the latest signals from IG retail client positioning data.
Resources to help you trade the markets:
Whether you are a new or an experienced trader, at DailyFX we have many resources to help you:
— Written by Martin Essex, Analyst and Editor