Oct 13 2009
Small Specs in ES Futures Way Short
Back in August I wrote about how the Commitment of Traders figures suggested that the uptrend probably wasn’t over yet on the basis of the fact that the notorious incorrect small speculators were short. Believe it or not, those Small Specs are even more bearishly biased now than they were 2+ months ago. Check it out.
You can see from the graph how the level of net shorts (Longs – Shorts) is at a low level it has touched a few times the last six months or so. What”s even more interesting to my mind is the 35% bullish (see the highlighted area in the table) indicating that 65% of the positions are short. That’s a big negative bias.
This sort of positioning suggests we may yet see higher highs in stocks.
Here are some other posts which might interest you:
