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Strategies & Market Trends : Ask DrBob

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To: ToTradeWell who wrote (45918)10/15/2001 12:04:55 AM
From: bcrafty   of 100058
 
TTW and Louis, thanks for your comments on the COT

Interpretation of this is difficult. Are the commercials starting to hedge more? Are they still long SPX because they see it moving higher? They can change so quickly within a day or two that the last COT report can be rendered meaningless fairly quickly. Allan seemed to think the commercials were looking for a turn southbound, while patron (to whom he was responding) was more neutral in his observations. Whether they're hedging or not, I find that the amount of the commercial short interest is significant, as it looks as though they're not planning for a continued uptrend with the percentage they have.

If only the big boys would just come right out and tell us what they're doing instead of us little guys analyzing their figures and trying to read something into it . . . but I guess if they did that it would take all of the fun out it for them, huh?
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