Banks Go to Cash, Gas Still Bearish

Only one new signal for execution on next week's open. My setup for the benchmark BKX U.S. Bank Index, which was bearish last week, goes to cash on Monday. My other bearish signal - for natural gas - stays bearish this coming week. Everything else is in cash this week.

My newly updated signals table based on the Commitments of Traders data also includes two bearish signals coming down the pipeline for mid-October. My setup for crude oil goes from cash to bearish on the open of Oct. 10 based on bearish positioning by the commercial hedgers and small traders (both of which are the "smart money" in this market). Also, I've finally included more details about my new setup for copper on that table. That setup goes bearish on Oct. 17 because of bearish positioning by the large speculators and small traders.

Reader feedback time: I'm curious how you use the COT data in your trading. Also, what are you doing that's working - and that isn't working - these days?

Good luck this week!

Banks, Gas Positioning Bearish for Next Week

Two signals to report coming out of the latest weekly Commitments of Traders data. Trader positioning has turned super negative in the three-month Eurodollar contract. That's led my trading setup for the benchmark BKX U.S. Bank Index (a basket of the major U.S. financials) to go bearish for Monday's open of trading.

Also, my setup for natural gas goes bearish on Monday's open after the large speculators and small traders both put on highly bearish positioning in recent weeks.

See my newly updated latest signals table for all the details on these and the other setups I'm following. I still haven't added my new copper setup to that list. It's in cash for the next few weeks, but large spec and small trader positioning has turned very bearish here too lately. That's led the setup to give a bearish signal with a four-week delay - meaning for the open the week of Oct. 17. Good luck next week.

BKX, Copper to Cash

A few new signals on my newly updated signals table: cash on next week's open of trading for the BKX U.S. Bank Index and bearish for my natural gas setup with a one week delay (i.e. for execution on the open of trading on Sept. 19). Also, my copper setup goes from bullish to cash on next week's open (on Sept. 12). See my signals table for more details on the Commitments of Traders positioning in these and other markets. Hope you did okay this week, and good luck next week!

Banks Bearish, Gold to Cash, Copper Bullish

My trading setup for the BKX U.S. Bank Index goes to bearish on next week's open of trading, while my signal for gold goes from bullish to cash. Also, my new setup for copper goes from cash to bullish - but only for a single week; that signal then goes back to cash.

See more details stemming from Friday's Commitments of Traders report on my newly updated latest signals table (not including the data for copper, which I haven't put in that table yet). Hope you have a good weekend, and good luck next week!