Friday, 27 April 2012

Going Long Natural Gas... But Just for a Week!

New data now up on my latest signals table for my trading setups based on the weekly Commitments of Traders reports. One signal takes effect on Monday's open of trading: bullish for natural gas.

Gas aficionados know it's been collapsing straight through to the Earth's core for, what, years? The trader data, as reported in the CFTC's COT reports, suggests a chance of a bounce next week. Or at least that's how I see it. Gas has indeed been rallying in the past few days, but I didn't see a technical reason to jump in just yet.

How nice that the COT data gives me the excuse!

But hark, don't get too excited, you gas bulls. The long signal will last just one week. The following week, my gas trading setup says to go short.

See my signals table for more details on this and the other markets I follow using my COTs Timer trading strategy based on the COT reports. Check there to see my signals for the S&P 500, gold and crude oil. (The others are in cash for the coming week.)

In other news, I've just finished backtesting on the NASDAQ-100 mini COT data. It's the first time I've taken a look at the mini COT data in a few years, and I can tell you it's produced a very promising (knock on wood!) setup. I should start using those signals as of my next update.

Have a good weekend, and good luck next week.

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