WTI Crude Oil Speculators bullish bets went higher for 2nd week30th June 2019
June 29th – By CountingPips.com – Receive our weekly COT Reports by Email
WTI Crude Oil Non-Commercial Speculator Positions:
Large energy speculators raised their bullish net positions in the WTI Crude Oil futures markets this week, according to the latest Commitment of Traders (COT) data released by the Commodity Futures Trading Commission (CFTC) on Friday.
The non-commercial futures contracts of WTI Crude Oil futures, traded by large speculators and hedge funds, totaled a net position of 378,803 contracts in the data reported through Tuesday June 25th. This was a weekly advance of 15,716 net contracts from the previous week which had a total of 363,087 net contracts.
The week’s net position was the result of the gross bullish position (longs) dropping by -5,808 contracts (to a weekly total of 496,941 contracts) but being overcome by the gross bearish position (shorts) which fell by -21,524 contracts for the week (to a total of 118,138 contracts).
Last two weeks of gains due to short covering
This week’s speculators crude oil position rose for a second straight week following a streak of seven consecutive weekly declines that ultimately trimmed the bullish position by approximately 195,000 contracts.
The gains of the past two weeks, however, were due to short positions bailing out of their positions in greater numbers (possibly due to geopolitical concerns) than traders adding to bullish positions which is not a great sign of strength.
The current bullish standing now remains under the +400,000 contract level for 3rd straight week and for the first time since early March.
WTI Crude Oil Commercial Positions:
The commercial traders position, hedgers or traders engaged in buying and selling for business purposes, totaled a net position of -374,908 contracts on the week. This was a weekly shortfall of -12,239 contracts from the total net of -362,669 contracts reported the previous week.
WTI Crude Oil Futures:
Over the same weekly reporting time-frame, from Tuesday to Tuesday, the WTI Crude Oil Futures (Front Month) closed at approximately $57.83 which was a boost of $3.72 from the previous close of $54.11, according to unofficial market data.
*COT Report: The COT data, released weekly to the public each Friday, is updated through the most recent Tuesday (data is 3 days old) and shows a quick view of how large speculators or non-commercials (for-profit traders) as well as the commercial traders (hedgers & traders for business purposes) were positioned in the futures markets.
The CFTC categorizes trader positions according to commercial hedgers (traders who use futures contracts for hedging as part of the business), non-commercials (large traders who speculate to realize trading profits) and nonreportable traders (usually small traders/speculators).
Find CFTC criteria here: (http://www.cftc.gov/MarketReports/CommitmentsofTraders/ExplanatoryNotes/index.htm).
Article By CountingPips.com – Receive our weekly COT Reports by Email
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