September 2020

COT Report Graphical Commitment of Traders Report

The COT also delineates the number of contracts involved in spreads. Remember currencies are traded in pairs, the base against the alternate. In the GBP pair, the GBP is the base while the USD is the alternate.

You might think you want to follow the money managers, but remember, trend followers generally miss the turning points. The important thing you are looking for is when the position of either commercials or speculators gets proportionately large, compared to recent data, at which point the professionals think it is “extended” or overdone. This is often, if not always, a reliable guide to a pending turning point. Each Friday, unless there is a holiday, the Commodity Futures Trading Commission, a US government agency , releases what is called a Commitments of Traders Report on a wide array of currencies, commodities and interest rate futures. This reveals the size of outstanding positions for various players as of the preceding Tuesday. Introducing the Trading Journal, the ultimate tool for traders of all levels.

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The Commitments of Traders reports can sometimes give traders a good idea of future significant moves in the market. The CFTC requires large speculators and commercial traders, or hedgers, to report their net positions twice each month. In general, the large speculator category represents fund traders and professional traders who carry large positions. The number “non-reportable” positions is derived from subtracting the number of large spec and commercial positions from the total open interest. This group of traders is generally thought to be small speculators and hedgers who are not holding a position large enough to report to the CFTC. As one would expect, the largest positions are held by commercial traders that actually provide a commodity or instrument to the market or have bought a contract to take delivery of it.

In closing, the COT is a valuable tool which commodities traders can utilize to get an upper hand on the markets. You can use of the COT report to get a better understanding of what commercial hedgers, large trader and small speculators are doing within the commodities markets. The report can help commodities traders, forex traders , indices traders and fixed income traders. As noted earlier, there is a term frequently used amongst professional traders and that is “following the smart money”. What does following the smart money mean and who is the smart money? When doing your homework and researching the historical COT reports, you will clearly see at specific times where the major players have positioned themselves.

What Is The Commitment of Traders Report?

Futures, foreign currency and options trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing one’s financial security or lifestyle. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading.

If you are interested and would like to find out more, you see our performance by clicking here. We prefer this strategy because it meets all the criteria of a good strategy – it is fundamental, comprehensible, time-saving, suitable for small accounts and it is easy to implement. The short signal is provided when the mood of the public is positive . COT-signal can be verified by the sentiment that represent the the mood of the public .

Commitment of traders report (COT)

For example, in the EUR/USD pair, while the rate has been trading lower since April 2018, note how overwhelmingly bullish asset managers remain? These are all factors that have an impact on asset managers to remain bullish in EUR/USD. Another critical exercise in your trading pairs is to mark up in your chart with vertical lines the period where this new engagement of large specs occurred .

These are traders that work for large institutions who are speculating on the market to make money with their decisions to either go long or short on a futures contract. Non-commercials are basically large institutional investors, individual investors, hedge funds and large financial institutions that are trading in the futures market for investment and growth. They have no business activities related to a particular commodity in which they might have a position.

Commitment of traders FAQs

If traders are overwhelmingly long or increasing their long positions then we will have a bullish bias on that market. Similarly, if traders are short or increasing their short positions then we will have a bearish bias. The weekly report details trader positions in most of the futures contract markets in the United States. Noncommercial traders are speculators, such as individual traders, hedge funds and large institutions, which operate on the futures market and meet the reporting requirements. The Commitment of Traders or COT report comes out on a weekly basis and is put together by the Commodity Futures Trading Commission or CFTC.

These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in oureditorial policy. Yarilet Perez is an experienced multimedia journalist and fact-checker with a Master of Science in Journalism.

Large specs include mainly hedge funds and banks trading for speculation purposes, and for the most part, have no need to use the futures market as hedging, with the sole intention being profit-driven. The Commitment of Traders reports show futures traders’ positions at the close of Tuesday’s trading session. The report is prepared by the Commodity Futures Trading Commission .

On the other hand, in early November 2009, the net long positions hit an extreme. Since there were no more buyers, the pair started to move downwards. The watchlist page will generate a page of the EdgeFinder’s top buys and top sells at the moment. COT reports can be obtained from the CFTC website and can be downloaded in several file formats. I’d like to view FOREX.com’s products and services that are most suitable to meet my trading needs.

They manage business risks, identify opportunities and help level down fluctuations in the underlying commodity to stabilise or increase revenues for the institution. These institutions are involved in trades whose nature of payments may be affected by inflation, currency depreciations, and devaluations. Yet, often overlooked is that contracts can change hands and open interest will not change. So just because Open Interest has not changed does not mean that the players outlook on the market hasn’t changed. Hypothetically, a large number of speculators holding long contracts could be acquired by new commercial buyers. You would not detect this “new interest” in the market because new contracts weren’t created, but what is just as important is that existing contracts were acquired by parties with different market outlooks.

Commercial participants were heavy long in both early 2016 and mid-2017, both of this informations signalled big trend moves in the market for the following months ahead. Large Speculators – Trading firms and hedge funds who speculate on the markets to gain profits. These tend to be right most of the time, but there are some exceptions to that.

It breaks long, short and spread position reporting down into Non-Commercial, Commercial and Non-Reportable categories. In trading, sentiments offered by other investors and traders are very important in determining the market moves. This is simply because any person trading the market has his own opinion on the future price of the shares, currencies, or commodities.

Other https://g-markets.net/ of traders that will also reveal snippets of valuable information, and as I like to make the analogy, also leave a trail of breadcrumbs along the way, include leverage funds, asset managers, and dealers. The decline in bullish sentiment has been trending like that since mid-June before this particular image was taken. You can see the market’s reaction to declining investor bullishness in the chart of crude oil below. As investor sentiment cools, traders may become more cautious about their risk exposure with tighter stops or protective options. The change in long or short positions can tell us a little bit about the trend in investor sentiment. Long positions have declined since last week and short positions have increased.

In the commitment of traders forex market on the other hand, they pledge to buy or sell assets at a certain price. A commercial trader trades on behalf of a business or institution. COT reports are based on position data supplied by reporting firms . While the position data is supplied by reporting firms, the actual trader category or classification is based on the predominant business purpose self-reported by traders on the CFTC.

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These are typically hedge funds and various types of money managers, including registered commodity trading advisors ; registered commodity pool operators or unregistered funds identified by CFTC. The strategies may involve taking outright positions or arbitrage within and across markets. The traders may be engaged in managing and conducting proprietary futures trading and trading on behalf of speculative clients. The Commitment of Traders reports provide a breakdown of each Tuesday’s open interest for markets in which 20 or more traders hold positions equal to or above the reporting levels established by the CFTC. The weekly data produced though the COT report is very useful but the data is not easily disseminated. It is much easier viewing the COT data through a chart which will depict the historical trading data.

You’ll also be able to see which actors have taken positions, including dealers, institutions or funds. 4 – An increasing net position indicates that either more longs are being added to the market than shorts or Long positions are being opened and short positions are being closed. Understanding market sentiment can help guide the trader in forecasting potential price moves. Although those who hedge are mostly concerned with mitigating risk they also want to place their hedge on when they believe that the product they produce is likely to experience a price decline. So COT data can be used to follow trends or as an indication of when to take some or all profits. It is based on Open Interest data being a gauge of, well, interest.

Easily identify volume and position changes from one period to the next. No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

7 Best Green Penny Stocks to Buy Now

It’s also a highly flammable gas, making storage and transportation a challenge. This first company on this list is considered to be a pure-play energy penny stock. SunHydrogen develops low-cost, breakthrough solutions to utilize renewable hydrogen with sunlight and water. Hydrogen fuel produces legacyfx water as the only byproduct which completely aligns with the goal of moving toward renewables. Despite existing challenges, hydrogen fuel use also provides potential advantages. While EVs need to be charged periodically, fuel cell vehicles use hydrogen as fuel and produce energy onboard.

The views and strategies described in our content may not be suitable for all investors. Because market and economic conditions are subject to rapid change, all comments, opinions, and analyses contained within our content are rendered as of the date of the posting and may change without notice. The material is not intended as a complete analysis of every material fact regarding any country, region, market, industry, investment, or strategy. Though we believe the information provided herein is reliable, we do not warrant its accuracy or completeness. The order from SK ecoplant will significantly strengthen the balance sheet and help the company to rapidly commercialize its hydrogen solutions.

The goal will be to develop hydrogen fuel production, fuel cell stacks, hydrogen transport, and storage/refueling needs. So why would DPW be on this list of green energy penny stocks to watch? On March 25th, Ault Global announced that its Coolisys Technologies Corp. received a $10.5 million purchase order.

Penny Stocks To Watch If You’re Playing “The Stock Market Game”

SunHydrogen, Inc. is a company that produces and sells renewable energy. The winds of energy are changing, and fossil fuels might be on their way out sooner than you think. This year, the goal is beginning the formal Feasibility Study and submitt a draft Environmental Impact Statement early next year. These are both essential steps needed for Denison to make a development decision for the property. One of the reasons traders are focusing on this uranium company right now is the future potential of this project.

This average price target indicates that even after a rally of more than 41% for the year-to-date, Wall Street pros see roughly 10% more upside for the shares. For these reasons, many energy penny stocks have been climbing in the past few months. While the goal of being carbon neutral by 2035 may seem out of reach, it is more than achievable if the proper steps are taken. With all of this in mind, let’s have a look at the top energy penny stocks to watch this week.

Their average price target on the stock is $7, significantly higher than its Friday closing price of $1.41. Shares of companies in HYDR are likely to remain volatile, but the recent decline offers a better opportunity into this ETF that focuses on hydrogen stocks. equity research financial modeling Losses per share were 14 cents, compared to a loss of 6 cents per share a year ago. The power play ended the quarter with $1.1 billion of cash reserves. Brookfield Renewables is one of the world’s largest public, pure-play renewable power platforms.

Both sales and earnings are critical factors in the success of a company. Therefore, ranking companies by only one growth metric makes a ranking susceptible to the accounting anomalies of that quarter that may make one or the other figure unrepresentative of the business in general. On Aug. 16, 2022, President Biden signed the Inflation Reduction Act , a piece of legislation that is likely to have a significant impact on the alternative energy industry. The IRA is expected to invest roughly $369 billion in energy security and climate change in the coming years. The company’s last earnings results released in August showed a widened net loss even though it was narrower than analysts predicted. EPS came at 20 cents from 14 cents in Q1, but still better than the 30-cent loss expected.

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And it’s also been acquiring a stake in companies like Hydrospider, a Swiss producer and supplier of hydrogen. Here’s a stock that hasn’t sniffed penny stock territory, well, ever. FCEL is now back in penny stock territory — where it was when I covered it in 2020. It means that FCEL has more money to spend on research and development.

All companies listed had market caps of at least C$10 million as of July 14, 2022. Numbers and figures were current at that time, with data gathered using TradingView’s stock screener. Investment in renewable energy and clean technology continues to grow. Despite setbacks due to COVID-19, global green recovery efforts have been a boon for the cleantech market. Different companies across different geographies are working on the hydrogen economy. Last month, Toyota announced a pilot project for the Mirai car in India.

Notably, Valero makes hefty profits from crack spreads and crude barrels that travel through its facilities. ITM Power does have some progress to show for all the cash it goes through. First off, the new improved product, MEP 2, introduced and tested at Leuna has entered serial manufacturing.

What are Hydrogen Stocks?

The Energy Information Administration said it expects volatility in oil prices to continue due to a number of factors. These include lower oil inventories, the extent to which sanctions are imposed on Russia and any other potential sanctions in the future. Hydrogen technology remains in its early stages of development, but it has a promising future with the potential to power FCEVs, heavy-duty vehicles, and even aircrafts and ships. As of August 3, 2022, the price of hydrogen in San Francisco was about $20 a kilogram. The cost of fueling a 5-kilogram capacity Toyota Mirai would set its owner back $100. That compares to about $26 for Tesla’s long-range Model S, and about $70 for a full tank of gas for a Honda Civic.

With that in mind, here are five green energy penny stocks to watch in April 2021. San Jose, California-based Bloom Energy is another leader when it comes to hydrogen fuel cells. The company uses solid oxide technology to produce hydrogen using electricity, a process that many analysts have called true green energy. Hydrogen fuel cells work much like batteries by generating electricity from an electrochemical reaction. Instead of recharging them like a traditional battery, hydrogen fuel cells are refueled with more hydrogen.

• In addition, it has offices in Carlsbad, CA, Scottsdale, AZ and Houston, TX. It has over 4,700 net megawatts of installed wind and solar generation projects.
• You can learn more about the standards we follow in producing accurate, unbiased content in oureditorial policy.
• This technology consists of an on-board system, which generates hydrogen and oxygen by splitting distilled water.

Currently, Polaris operates a 72 megawatt geothermal facility in Nicaragua and three run-of-river hydroelectric facilities in Peru, with approximately 5 MW, 8 MW and 20 MW of capacity each. Click here to read the previous top Canadian cleantech stocks article. Here are the five biggest gainers of the year on the TSX and TSXV. Moreover, a look at the company’s recent tie-ups can provide a glimpse of things to come. Korean electric car maker Edison Motors has tied up with PLUG to bring an HFC-powered electric city bus to the market.

As a result, Lovaglio recently reiterated a Buy rating and raised his price target to $175 from $172 on the stock – near the highest price target of $178 on the Street. Similar to other energy stocks, EOG has done well this year, up 43.5% so far. Most of the pros following Williams side with Tonet, according to TipRanks. Of the 15 analysts who have sounded off on WMB stock over the past three months, 14 say it’s a Buy. “This growth in our base business, better than planned market fundamentals and the Trace acquisition, are driving a $250 million increase in the midpoint of our 2022 adjusted EBITDA guidance.” The analyst recently reiterated a Buy rating on the stock and bumped up his price target to $59 from $55 – the highest on Wall Street.

That’s because, although VVPR stock closed at around 50 cents on Friday, that analyst’s price target on the stock is $5. In other words, the analyst thinks that VVPR can soar about nine times. The duo will work on the adoption of commercial fuel cell electric vehicles in Hong Kong.

It could also make Bloom Energy finally turn profitable and cash-flow positive – something investors have been waiting for over the last 20 years since the company exists. The governments of EU countries, Australia and Asia are supporting the deployment of hundreds of large-scale hydrogen projects. According to a recent report, hydrogen can become the most competitive low-carbon solution in more than 20 applications by 2030, including long haul trucking, steel, and shipping. Fuel cells technology is unique as it can be used in a variety of applications – from providing power for systems as large as a utility power station, to running a device as small as a laptop computer.

On top of that, it’s not yet made at the scale needed to be economically competitive with fossil fuels. AFC Energy plc develops and demonstrates alkaline fuel cell systems for the generation of clean energy in the United Kingdom and Germany. SunHydrogen, Inc. engages in the development and marketing of solar-powered nanoparticle systems that mimics photosynthesis to separate hydrogen from water. The company was formerly known as HyperSolar, Inc. and changed its name to SunHydrogen, Inc. in June 2020. SunHydrogen, Inc. was incorporated in 2009 and is based in Santa Barbara, California. COP is one of the best energy stocks in regard to returning cash to its shareholders.

Equity Markets Could Plunge 20% If A $75 Carbon Tax Suddenly Hits

In Canada, Boralex has 21 wind projects across Quebec, Alberta, Ontario and BC; nine hydroelectric projects across Quebec, Ontario and BC; one solar project in Ontario; and one thermal project in Quebec. Notably, the company is focusing on driving commercial availability of its advanced technologies solutions, which include distributed hydrogen python webentwicklung via electrolysis, long-duration energy storage, and carbon capture. Names such as Tesla and NIO have been the talk of the town in the EV space, with other major players taking steps towards EVs as well. Concurrently, another trend has been towards the development of hydrogen fuel as an alternative and a push for hydrogen-powered vehicles.

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As a result, hydrogen stocks are often considered to be high-risk/high-reward investments. Hydrogen stocks tend to be more volatile than the overall stock market, and they can be sensitive to changes in government policies and regulations. For these reasons, hydrogen stocks are not suitable for all investors. However, for investors with a high tolerance for risk, hydrogen stocks may offer the potential for significant rewards. If this has you interested in looking at hydrogen stocks, check out these three names in the stock market today. Hydrogen stocks are a type of energy stock that represents companies involved in the production and distribution of hydrogen fuel.

Westport Fuel Systems Inc. engineers, manufactures, and supplies alternative fuel systems and components for use in transportation applications worldwide. It develops turn-key distributed power generation solutions and provides comprehensive services for the life of the power plant. The company is in an excellent position to benefit from a fast-growing industry; thus the organization expects promising opportunities for potential investors.