Friday, 17 August 2012

Bond Data Turns Bullish in CFTC's Commitments of Traders Report

One signal takes effect on next week's open of trading based on the latest Commitments of Traders data from the CFTC: bullish for my setup for the 30-year Treasury bond (meaning the yield would fall).

The latest trader positioning (you can see details on my latest signals table) shows the "smart money" commercial hedgers remaining heavily bearish in their derivatives positioning in the S&P 500 as a percentage of the total open interest. That setup is bearish, despite the recent rally.

My NASDAQ-100 setup is also bearish.

In fact, the bullish bond signal suggests mounting overall bearish positioning in the COT data, with the only other bullish signals being gold and silver. That contrasts strongly with the bullish positioning in my discretionary positions based on chart price action.

What could it mean?

Have a good weekend pondering that, and good luck next week!

2 comments:

lester tarry said...

I feel bad to listen the news that the Treasury bond are fall. The news is not good for the investor, they get a loss to purchase the bonds.
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FirePips said...

COT reports I think are over rated for trading purposes. They tell you what happened and does not hold any future value that can be used to create immediate trading signals. Best Forex Signals