Do you use COT for trading forex?

Apr 13 2009

Do you use COT for trading forex?

Published by forexissimple at 9:20 am under Business, Economy, Finance, Forex, Forex brokers, Investing, News, Uncategorized, Work from home Edit This

Many of the stock traders use COT for trading.

So do use COT for forex too?

Ok. Some of you may ask “what is COT?”

COT stands for Commitment of Traders .

This is released every weekend .

As against the stock market the forex market being decentralised it is really difficult to know the actual value but the values there are shown by the bigger traders bot commercial and small non commercial traders at the bigger exchanges . For example i see COT report of CME i.e. Chicago mercentile exchange.

Remember it ? Have you heard of it before?

Do you know Turtles or rea book on turtle trading . If your answer is yes then you would remeber the CME as mentioned in the book. CME i one of the biggest exchange in USA.

So after reading COT you get an idea over weekend as to which pairs are gross long and which short looking at number of longs and shorts both by commercial and noncommercial traders.But since as mentioned before forex is decentralised the positions may differ over different exchanges.

So you can look at COt to get just a part of idea on understanding the longs and shorts by major traders .

Happy trading!

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