Consumer sentiment…

…my contrarian indicator. When consumers claim they are happy and consumer reports come out strong I view it as a sign of concern for consumer spending and when they report depressing figures they also try to spend the depression away. I always look at consumer sentiment reports as a contrarian indicator.

Interesting approach. I have never thought of it that way. I guess it comes all down to psychology and emotions just like when trading forex.

DAILYFX SSI is a great tool to gain some insight into retailer positions.
I also use the myfxbook community outlook and stocktwits.

Typically, if everyone is buying, I’m looking to sell (in the case of the EURUSD most recently). Retailers have been net long since the top…

Doesn’t work 100% of the time, but, is still a great tool.

I dont prefer it as its not very predictable and dont think its one of the important point while trading, although knowing is good.