The latest Commitments of Traders report was released, covering positions through Tuesday
The 3-Year Min/Max Screen shows that "smart money" hedgers mostly continued their same themes, selling the euro and holding long stocks. They became more aggressive in selling commodities including sugar and coffee. Their total short position in the contracts making up the DBA exchange-traded fund reached more than 70,000 contracts. The Backtest Engine shows that over the past 9 years, a short position this large preceded losses in DBA in the months ahead every time (in 2011, DBA managed to gain for months before giving back its gains). If these contracts can continue to gain, it will suggest a major trend change.
