Hi Larry,
I'm a Futures newbie but have a good grasp of stocks and maybe options. I was wondering if there is a direct price correlation between S&P 500 Futures and the S&P 500 that we're following at COT.

Thanks,
Jojo

Jojo,

Absolutely there's a direct correlation between the S&P futures contract and the S&P COT report. In fact, the S&P Commitments of Traders report is a report on the reportable and non-reportable positions of market participants in the S&P futures market.

Now if you're asking if you can use the report to help you trade S&P futures the answer is maybe. Most S&P futures traders are very short-term traders, even day traders. I don't think the COT report is going to help you there. But if you're more of a position trader, then I think it is extremely valuable.

Larry

Thanks for the reply Larry. I was planning to have two accounts, one for position trading (swing) using COT report and the other for day trading using http://www.21stcenturyfutures.com/ setup. I don't plan to open a Futures account just yet but maybe when I feel I gain enough knowledge and feel comfortable with the s&p 500 futures price movement.

Right now I'm using Mohan's morning call to give me some idea on how SPY and QQQ might be heading the next day. I was getting a daily free email from them and just recently subscribe for $199 annually. Does anyone from this forum receive the daily moring call from Mohan? If so, what do you guys think of his setup? I'm still trying to digest all the information from his website. I would appreciate if anyone will share a thought about 21st century futures setup.