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Commitments of Traders Report (COT)

hchcoinhchcoin Posts: 4,825 ✭✭✭✭✭
Can anyone explain how they use the information and what it tells you in an easy to understand way?

COT Report

COT report explained 4/12

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    hchcoinhchcoin Posts: 4,825 ✭✭✭✭✭
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    derrybderryb Posts: 36,193 ✭✭✭✭✭
    understanding the COT report

    "The COT report essentially shows the net long or short positions for each available futures contract for three different types of traders. If traders are overwhelmingly long or increasing their long positions then we will have a bullish bias on that market. Similarly, if traders are short or increasing their short positions then we will have a bearish bias."

    However extremely long or short positions may indicate a temporary peak if these traders decide to take profits.

    Keep an open mind, or get financially repressed -Zoltan Pozsar

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