This widget displays the current market sentiment. Position ratio data is collected from multiple brokers.
Analyze the open positions of traders not only at the current moment, but also in the form of a chart.
In this article, we want to briefly tell you what they are and describe the basic principles of their analysis. In addition, we present you our own developed tools (services) for a convenient analysis of the ratio of positions.
The service is an aggregator that combines data from various brokers. With it, you can analyze open positions of traders online, not only at the current moment, but also by looking at the history of this indicator for several previous months. In addition, the tool can be configured to display one or several brokers at once. If you understand what I'm talking about, you can go straight to the study.
EUR/USD Open interest, or open positions is a percentage value that displays the current difference between the number of traders who opened a deal to buy and sell a currency. At the same time, already closed deals do not affect this indicator.
Positions of Forex traders is a great indicator of market sentiment that allows you to look at.
Most brokers, in pursuit of the loyalty of their clients, try to provide data on the open positions of traders. But for the end user, it is difficult and inconvenient to analyze, and even more so compare this data from a dozen different sites. Hence the idea of creating a single tool for analyzing the ratio of short and long positions of all brokers together.
First of all, you should not rush to open deals. To get started, study the data on the chart, watch it for a while until you find some price action. In order to shorten the time of your searches, we will hint at what to look for:
Now let's move on to the tools.
Let's clarify one point: the chart shows the percentage of long positions, but since the total value of long and short positions is 100%, you can easily calculate the value of short positions by subtracting the percentage of long positions from 100%.
Considering that the volumes of transactions for each broker are different, it would be incorrect to calculate the average value of open positions using the simple arithmetic average method. For example, the volume of Oanda's open positions is many times greater than the volumes on myfxbook.
To take into account the difference in volumes, each broker is assigned a "weight", and the more it is, the greater its influence on the average value of open positions. The approximate "weight" of each broker is indicated in the picture on the right.
You should not take the information received as a guide to action, there is always a possibility that the price will go against your signals. The market is often like a tug-of-war where five people compete against ten.
It will be interesting to hear your methods of analysis open positions of traders. We are also happy to answer questions in the comments to the article. 
What is position trading?
Position trading is long-term trading with a trend on charts with large time scales. In position trading, fundamental analysis (its macroeconomic part) and the technical method of forecasting are often used. This style of trading is used in literally all markets.
Position traders can hold both long and short positions for the long term. In the latter case, they earn on the depreciation of the asset. Positional short positions are very interesting during periods of financial and economic turmoil. For example, this style made it possible to earn money during the crisis of 2008-2009, when many stock markets marked a significant drop in quotations.
The essence of position trading is that a trader opens a position (long or short) in order to maximize profit from the main trend. For position traders, short-term price fluctuations and corrections are not important. Instead, they are interested in the main trend itself, which can last weeks or even months.
This approach to trading has its advantages.
Position trading can be contrasted when traders are constantly at the computer and open deals within one trading day. As for another style - , here traders open trades less often and hold positions from one day to several weeks. Position traders open several trades a year. Swing traders can open from 25 to 100 positions per year (sometimes more). As for day traders, they get about 1000 or more positions per year. The difference is simply enormous.
The search for signals in positional trading can be carried out using various methods. For example, some traders prefer to look for assets that have good trending potential but are still trading in a range. In some cases, you can open positions on assets that are already trending. In the second case, it is much easier for position traders, since the trend has already begun. Hence, they can simply join it. Much less time and effort is spent on analysis here.
The main task of a position trader is to find a trend. Accordingly, trading within the ranges during periods of consolidation and correction is not carried out, except when trading is in very wide ranges and lasts for several years. In the case of such ranges, the price can move from one border to another for several years and this can also be attributed to a trend, which is well suited for a position trader.
Trends often start with breakouts of key levels or certain patterns, including price action. In their work, position traders can use, among other things, indicatorstechnical analysis. In this case, most often they find trends that have already formed (since most trend indicators lag behind the chart).
The analysis of stock quotes can be carried out, for example, using a 40-week moving average. In this case, the trader may find stocks that have already started to rise or fall.
You can apply several indicators at the same time to search for clearer market entry signals. Using several moving averages with different periods will more clearly indicate the beginning of a trend formation.
Despite the fact that in positional trading transactions are held for a long time, a trader must follow certain rules in order to succeed. In particular, we are talking about planning entry points, exit from the market and risk management.
As a basic strategy for long-term work with stocks, we can offer a price intersection of the 40-week moving average (aka 200-day). Once this happens, you can enter the market.
At first glance, everything is quite simple. But after entering the market, we need to decide on the exit rules, that is, closing the position.
There are two main approaches here. You can close a position both manually and using stop orders. Let's start with the second. Here we can recommend placing stop orders at a distance of 5% from the moving average.
If the trader is not a supporter of placing stop losses, he can expect the moment when the price crosses the moving average in the opposite direction from the signal and consolidates there.
The screenshot shows the moment to enter a trade, as well as the opportunity to close the position. The exit in the picture is quite early. As you can see, a fairly strong continuation of the trend develops further after an insignificant correction.
The main risks of positional trading include the danger of a trend reversal before it reaches the point planned by the trader. The same small fluctuations can lead to the fact that the correction will lead to a complete change in trend.
Another important point associated with the limitations that are unique to positional trading. Such restrictions are connected with the fact that a trader invests money for a sufficiently long period of time. Therefore, before opening a position, it is necessary to plan your investments so that later you do not have to exit the market ahead of schedule.
But despite such risks and limitations, position trading has a lot of advantages.
Many novice traders mistakenly believe that position trading is an investment. In fact, this is far from the case. There is a huge difference between an investor and a position trader. Enough in the next article.
Determining this issue is not as easy as it seems. In theory, everything sounds quite tempting - low risks, higher potential and chances of success. However, position trading is not suitable for every speculator. Also, as for example, intraday.
What should you pay attention to first of all? In order to make good money on position trading, you must have an appropriate deposit amount. On small accounts, a trader will not be able to earn a significant profit. Yes, and the rules of money management here are somewhat different. Stop loss due to work with higher timeframes is set further. Accordingly, if a trader breaks the rules and invests most of his funds in a trade, a stop order will not save him from significant losses if the situation develops against forecasts for a certain period of time. And this is quite real. After all, corrections and consolidations in long-term trading can range from 100 to 500 or even more points in particularly volatile markets.
Before turning to position trading, it is advisable to try it with a small investment in order to understand if the trader can even work in such an environment. Not everyone is able to sustain an open position for several months, let alone several years (especially if the speculator has previously worked on intraday strategies).
During testing, you can continue to work with your previous style, only from time to time referring to a long-term position to analyze the situation and possible adjustments. Thus, the trader will be able to understand for himself whether it is worth using this method or whether it is better to turn to short-term trading, where it is possible to work with a smaller deposit and, with the appropriate approach, increase it several times over the same year of work.
If you find an error, please highlight a piece of text and click Ctrl+Enter.
The difference between the volume of the total number of open buy and sell orders is called the ratio of open positions. On this page you will find the ratio of all available information on the positions of traders in various brokerage companies and dealing centers.
You need to be able to use this information correctly and not enter a deal based solely on where the most positions are currently open. This trade does not always work. It is necessary to combine this analysis with additional indicators and filters. Use information on open positions only as an additional factor in the analysis.
1. To the side most open positions. If you see that on most brokers at the moment for a certain pair the number of buy orders is greater than the number of sell orders, then you decide to open a buy order. Example: EUR/USD currency pair, 75% buy orders, 15% sell orders. It is best to consider only buy orders in this situation.
2. Towards the least number of open positions. Many traders believe that if everyone is waiting for the price to go up, it must definitely go against everyone, at least for a small number of points or turn around completely, since the market cannot allow all traders to earn at the same time. And this theory is partly true, but like the first method, there may be failures.
Choose the style that best suits you, make observations and do your own analysis on .
Open positions of Forex traders from 8 brokerage companies
(Alpari, Dukascopy, FiboGroup, FXFactory, Oanda, InstaForex, MyFxBook, Saxo Bank)
The ratio of open positions of XTRADE broker traders
*The above shows the average value of the ratio of the number of open positions for the instruments: AUDUSD, EURUSD, GBPUSD, NZDUSD, USDCAD, USDCHF, USDJPY, Oil, Gold.
Open positions of Forex traders with InstaForex broker
Traders' open positions from the myfxbook service for all currency pairs and indices
(stock market speculator) - a person who enters into transactions on financial markets in order to make a profit.
Sign of a successful trader- the ability to steadily accumulate capital.
Newcomers come to the exchange with the aim of earning and gaining independence from work for hire. Successful people come to the stock exchange in order to manage their own savings. Many beginners think that the exchange and trading- this is easy money out of thin air, so many people strive to taste easy money. But not many succeed. The unconscious motives of a trader are excitement and the hunt for thrills. In the end, many people forget that they came into the market for the purpose of making a stable profit, and continue trading for the thrill. But few people are aware of this.
By degree of freedom:
Trader- scalable profession. This means that in order to earn 100 or even 1000 times more money, it is necessary to apply exactly the same efforts as when working with less money. At the same time, not everything is so simple: scalable professions are only good for the lucky ones; there is very fierce competition, monstrous inequality and a gigantic discrepancy between effort and reward: a few snatch off huge pieces of the pie, leaving other innocent people with nothing.
