COTs Timer

Ever wonder what the smart money is doing in the markets? You don’t need to pay big bucks to find out. Just read the Commodity Futures Trading Commission’s free weekly Commitments of Traders report. The CFTC’s COT data is a Holy Grail of market info, listing trillions of dollars in positions in 200+ markets – gold, crude oil, natural gas, silver, forex, equity indexes and lots more. My trading system, which I posted about here for seven years, gave weekly trading signals based on the COT data.

Thursday, 4 October 2007

Corn: New Setup is Bullish

I've just posted details of a new trading setup for corn that I've developed based on the Commitments of Traders reports. See my "Latest Signals" page in the Navigation bar. The setup is based on fading - trading opposite to - the small traders in corn futures and options when they hit specific historic extremes in their net position as a percentage of the total open interest. The setup flipped to bullish in the COTs report dated June 26 and subsequently saw 12 straight bullish signals, matching the only other previous such bullish run back in 1998.

2 comments:

Anonymous said...: Great work as usual, Alex.

Have you considered studying data for coffee, wheat, cocoa, sugar or milk or any other common futures?

I know these physical commodities have a longer COT history than some of the currencies, which have less historical COT data.

It would add more to the trading arsenal if there were more physical commodities one could choose from.

Anyways, I'm a loyal reader and keep up the great work!; 8 October 2007 at 04:16
Alex Roslin said...: Hi Jonny,

Thanks for your message! I'm planning on introducing setups for a bunch of physical commodities soon, including soybeans and soybean meal, coffee, wheat, cotton, live cattle, lean hogs, sugar - all among the most actively traded commodities within the COTs data. I'm willing to consider other suggested markets from readers.

Regards,
Alex; 8 October 2007 at 10:40