I've been calling attention to this to subscribers for a while now. The COT report for the crude oil market has been getting more and more bullish since the beginning of Mar. Notice the net short position has gone from -102835 to -24109 during this time. That's bullish enough by itself but this has happened while oil has rallied almost $22.00 or over 20% if you prefer. Seems like the commercial traders knew something was up with oil. That's pretty unusual for the commercials to buy into strength. The last time it happened was in the gold market in early 06. For the time being I think the energy markets are the lowest risk commodity investment. At least until we see the smart money starting to sell heavily.
2 months ago