Weekly COT report Net long exposure to gold fell sharply last week
As of Tuesday 1st February 2022:
- Net-long exposure to gold fell at its fastest weekly rate in nearly 3-years
- Silver traders reduced net-long exposure to a 6-week low
- Traders were their most bullish on palladium in 10-weeks
- Net-short exposure to palladium futures fell to 5-month low
AUD futures:
Being short AUD futures is by no means a new idea, as traders have been met-short the currency since May last year and at a record amount in October 2021 and January 2022. Whilst gross shorts remained effectively flat last week, gross longs increased for a second consecutive week with around 9.7k contracts added over this period. Whilst this may not be an ideal long signal, it does warrant caution being short the Aussie at such extreme levels.
CAD futures:
Traders increased net-long exposure to Canadian dollar futures to a 28-week high and has been mostly a function of short-covering. Gross shorts were trimmed for a fourth straight week by -6.7k contracts to a 29-week low. Yet longs were also trimmed very slightly by -473 contracts. So that is not a compelling bull-case as we really want to see fresh longs initiate, but there is even less reason to short and plenty of room for longs to increase, looking at the data.
As of Tuesday 1st February 2022:
- Net-long exposure to gold fell at its fastest weekly rate in nearly 3-years
- Silver traders reduced net-long exposure to a 6-week low
- Traders were their most bullish on palladium in 10-weeks
- Net-short exposure to palladium futures fell to 5-month low
Gold futures:
Net-short exposure to gold futures fell at their fastest weekly rate in nearly 3-years last week. And it is worth noting that the move was fuelled by 34.4k long contracts being closed (fastest rate in 27 months) and 10.6k short contracts added. Given gold has only grinded higher following its hard fall from $1850 then we retain the view that this is a corrective bounce.
Platinum futures:
We noted in Friday’s video that over 6,000 gross short contracts were closed two weeks ago, which is its most aggressive week of bearish capitulation since July 2020. Whilst just 47 short contracts were closed last week there was a slight increase in net longs by 742 contracts. We therefore remain hopeful that price can remain supported above the 200-day eMA and break ad head towards $1100.
The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex, commodity futures, or digital assets, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to FOREX.com or GAIN Capital refer to StoneX Group Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.
Please note that foreign exchange and other leveraged trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved, seeking independent advice if necessary.
Contracts for Difference (CFDs) are not available to US residents.
FOREX.com is a trading name of GAIN Capital - FOREX.com Canada Limited, 30 Independence Blvd, Suite 300 (3rd floor), Warren, NJ 07059, USA is a member of the Canadian Investment Regulatory Organization and Member of the Canadian Investor Protection Fund. GAIN Capital – FOREX.com Canada Limited is a wholly-owned subsidiary of Stonex Group Inc.
Complaints are taken very seriously at FOREX.com. You can view our complaints procedure here.
© FOREX.COM 2025