This week's COT data shows non-commercials reducing their net long position in gold and silver, and increasing their net short position in copper; hence the red in the metals group. And non-commercials capital movement in livestock highlights the diverse price action in live cattle and lean hogs.
This RadarScreen capture shows the net change in the net non-commercial position, expressed as a percent of the total non-commercial open interest, in the Commitments of Traders (COT) data released Friday, September 13.
This indicator and more information about COT reports are available in the Analysis Concepts paper titled "Commitments of Traders: Breaking Down the Open Interest." As detailed in the paper, the intention is to follow the money flow of large speculators: money managers, hedge funds, etc.
You can read more of this blog here.Written by Stanley Dash, VP, Applied Technical Analysis, TradeStation. Follow TradeStation