Identifying the Key Players in the COT Report

Besides the numbers, it was emphasized earlier that the Legacy COT Report identifies three key trader groups: noncommercials, commercials, and nonreportables. Sufficient information on these groups will be provided here to enable us to explore the two remaining points of inquiry in this chapter, though readers requiring more detail should consult the books by Briese (2008) as well as the important book-length studies of the COT report by Williams and Upperman.9

FIGURE 12.3 Continuous weekly chart of CBOT rough rice futures with the lower pane revealing the net positioning of each group over the past decade.

Nonreportables (Small Speculators and Small Hedgers)

This group tends to be the least respected ...

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