Looking at the weekly chart we see the price action bumping into weekly resistance of 13,600. You can see the last time this number was hit was early September 2012. Look at what happened with the Dealer/Intermediary under the Traders in Financial Futures COT report net shorts and Leveraged Funds net longs. See the drop take place from 13,600 to 12,600 in little over two-months. On the weekly chart you see that ADX is at 52, very strong trend and weekly Stochastics are in deep overbought territory.
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...