The commitment of Traders report is released by CFTC every week, this report shows major future contracts long and short position numbers.
The report data can be used for different purposes but what we are interested in using the COT data to take trading decisions, it gives a great summary of market sentiment.
You may think that use of COT is limited to futures market but it’s not true, Forex traders can use the report to get an estimate of how bulls and bears are positioned on currency future contracts so they will be able to use the currency contracts COT data for Forex pairs and compare each currency strength with another.
By playing with COT data you will come up with some really profitable Forex trading strategies and trading ideas.
If you are a CFD trader or even cryptocurrency trader then you can use the COT report to get the indices, cryptos (Only Bitcoin for now) and other future contracts long and short position numbers.
- You can load all COT future contracts data not just currencies
- Settings your own API key
- Being able to select between legacy or new format
- Selecting either Futures only or futures and options data
- Automatically fitting the COT data with chart data
This indicator uses Quandl API to get the COT data so you need a free Quandl API key to use this indicator, for more information please check the documentation.
The data came in weekly frequency so the best time frame for this indicator is weekly but you can use it on other time frames too.