The Latest COT Data (as of 2-14-06) is Bullish Short Term

The latest COT data (as of 2-14-06) is bullish short term since the gold Commercial Traders traded net long and the gold Speculators traded net short, both of which portend strength for part of this week, but the short selling by the gold Commercial Traders and the short covering by the gold Speculators points to some significant weakness. The gold Commercial Traders added 4848 (added 4679 the prior week, sold 15,347 the prior week, added 343, 10,554, 13,289, 6357 the prior four weeks,) long futures and options contracts and added 1765 (covered 9233, 18,701, 8435 the prior three weeks, added 11,306, 4626, 3299 the prior three weeks, covered 2036 the prior week) short futures and options contracts which portends strength this week (non contrarian indicator), but the addition of 1765 short futures/options contracts points to some weakness. The gold Speculators (hedge funds and other speculators/traders) sold a large 10,272 (sold 5910 the prior week, added 44 the prior week, sold 6157 the prior week, added 5541, 2975, 1521 the prior three weeks) long futures and options contracts and covered a large 3511 (added 5621, 1047, 1783, 3743, 9445, 5824 the prior six weeks) short futures and options contracts which portends strength this week (contrarian indicator), but the short covering points to some weakness. The most important consideration in timing any market is the cycle channels/trendlines (see charts). http://www.JoeFRocks.com/