Analyze Net Positions by Jon D. Andersen
ARTICLE SYNOPSIS ...Analyze Net Positions by Jon D. Andersen
Commitment of traders› (COT) data has, for many
traders, been difficult to understand and apply.
This has largely been because access to usable
forms of the data has been limited, and analysis
techniques have been sparse. However, the COT
does provide useful information for understanding the
dynamics of the futures markets.
In this article I will offer examples of analysis techniques
for net positions between commercial, noncommercial (or
large speculator), and small traders. Plotting the difference
between the positions of these speculators provides ...