On the weekly chart below, with the modified ADX at 51.7, we see a strong weekly uptrend. Stochastics on the weekly chart are overbought. Looking at the Disaggregated COT, we see Producers net short -40,101 contracts, Swap Dealers net long 80,530 contracts, and Managed Money net short -2,583 contracts. Will we see natural gas retest $5.00? First we will need to see a break above $4.00 and increased buying and selling by big money to see $5.00 again.
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...