Commitment of Traders (COT) Reports - 03/23/10

These are the March 26 reports containing data as of 03/26/10. COT graphs below show net positions for Commercials (hedgers), Non-Commercials (large speculators), and Non Reportables (small speculators).

Highlights of this week's COT reports:
1. S&P (e-mini) COT Report - For the first time since October 2008, large speculators are net short. Interestingly, small speculator turned net positive this week for the first time in months. This divergence shows that smart money (non-commercials) and dumb money (non-reportables) are at odds. Isn't that the oldest story on Wall st? If what we are seeing is indeed real distribution -the process in which large players trim down profitable positions- the question must be asked: can the retail investor prop the market's momentum? At any rate, this is definitely a red flag!
2. USD COT Report - Extreme net long positions persist. This week's reading slightly higher than last week.
3. Euro COT Report - New selling pressure is evident in the increased net short positions.
4. GBP COT Report - Extreme bearishness persists and net short positions are at new highs.
5. Commodity Currencies - Both the Aussie and Loonie's COT reports show extreme net long positions are still sustained.
6. JPY COT Report - Net long speculative positions continue to decline.
7. As of this week, I am adding two new reports: Crude Oil and 10 Yr Notes.

CLICK TO VIEW LARGER IMAGE