GBP/JPY IG Client Sentiment: Our data shows traders are now net-short GBP/JPY for the first time since Mar 17, 2020 when GBP/JPY traded near 130.12.

Number of traders net-short has increased by 106.19% from last week.

GBP/JPY: Retail trader data shows 48.57% of traders are net-long with the ratio of traders short to long at 1.06 to 1. In fact, traders have remained net-short since Mar 17 when GBP/JPY traded near 130.12, price has moved 2.02% higher since then. The number of traders net-long is 17.91% lower than yesterday and 20.00% lower from last week, while the number of traders net-short is 37.06% higher than yesterday and 106.19% higher from last week.

We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests GBP/JPY prices may continue to rise.

Our data shows traders are now net-short GBP/JPY for the first time since Mar 17, 2020 when GBP/JPY traded near 130.12. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger GBP/JPY-bullish contrarian trading bias.