Has the DOW hit its high for 2012?

Market Pulse: April 9

COT Data

Can the COT help with seeing how “big” money is moving in the Dow? Look at the weekly chart and the answer is very clear. Just look at what happens when you see increased buying (by Large Spec) and increased selling (by Commercials). Look at the breakouts over 9,000, 10,000, 11,000, 12,000 and most recently 13,000. This past week we did see liquidation by Large Spec and Commercials. If this continues, just look back to mid-April 2010 to see what will happen. Of course, we do need to see Ben’s (Fed) reaction to March’s jobs report. Could US stimulus be put back on the table? Remember the Fed minutes from last week. It sounded like US stimulus was off the table, and the markets reacted that way. So we have much to watch this week. AND GRAIN TRADERS — I will analyze today’s Crop Progress tomorrow along with tomorrow’s WASDE report. 

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If you need help understanding how to understand how to use the NEW COT report to your benefit get instant access to my new e-book "What Lies Beneath ALL Trends". It is filled with eye opening information.Commercial Net Tracker instructions: This form tracks the Commitment of Traders (COT) data for the commodity futures market. This form "looks" at the most recent five weeks of COT data and provides visual indications of the data. A) If the current value is at a 12-month low, the cell will display a red/burgundy background. B) If the current value is at a 12-month high, the cell will display a green background. C) If the current value went from net negative to net positive, the cell will display a blue background (indicating a bullish condition). D) If the current value is both a 12-month high and also went from a net negative to a net positive, the background will be green. You should view the data with green backgrounds to determine if they also went from net negative to net positive.

Proceed to Page 3 for this week's detailed fundementals...

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