{Addressing a global crowd of analysts and entrepreneurs, Atty. Joseph Plazo delivered a deeply insightful talk on the data set that quietly moves global markets. He argued that the COT, when decoded correctly, is nothing less than a market x-ray—a transparent look into the intentions of the world’s most powerful traders.
“If you want to predict price, follow positioning,” he began, laying out how Plazo Sullivan Roche Capital uses the report as a core element of its institutional models.
Most retail traders, he noted, chase indicators—they react. Professionals study posture—they anticipate. The COT is posture.
The Smart Money Tells Its Story Here
He illuminated the three tribes that define market structure:
Commercials, who move billions to manage real-world exposure
Funds, who drive macro trends
Small Speculators, whose footprints often signal tops or bottoms
The secret, he said, is not the numbers—it’s the changes.
He shared how Plazo Sullivan integrates COT data into an AI system that detects:
Macro build-ups
Cycle rotation
Crowded trade unwinds
“In markets,” he noted, “data is noise until someone gives it voice.” That voice is structure, positioning, and timing—three pillars he hammered repeatedly throughout the TED stage.
The Playbook for Traders
He unveiled a four-part method traders can use immediately:
Spot positioning extremes
When commercials hit record longs or shorts, something big is brewing.
Track weekly deltas
Violent swings often precede trend reversals.
Let positioning dictate direction
When funds load long into weakness, retail panic is often the check here entry signal.
“The COT won’t tell you when to enter,” he said, “but it will reveal where the ocean is flowing. Your job is simply to surf the tide.”
The Future of Trading
Plazo concluded with a glimpse into the next evolution of analysis at Plazo Sullivan Roche Capital:
AI that reads the Commitment of Traders Report not as one snapshot, but as a story—a shifting orchestration of institutional intent.
He predicted a future where retail traders who ignore positioning will continue to be liquidity for institutional algorithms, but those who embrace structural tools like the COT will be able to compete with unprecedented clarity.
The applause was thunderous.
A simple report had just been transformed into a strategic weapon—thanks to Joseph Plazo’s mastery of markets and human behavior.