# Commitment of Traders (COT) Strategy AI Agent Connect

> Analyze commercial and non-commercial positioning to generate deterministic trading signals.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_X4OccFa0Rl5W8kjE3VXJ3LBueRP9Qljejo6UMxQA/ai-agent-connect
- **Tags:** cot, commodities, algorithmic-trading, smart-money, futures

## Description

This MCP server provides advanced algorithmic analysis of Commitment of Traders (COT) reports. It bridges the gap between raw commodity positioning data and actionable trading intelligence. By utilizing `analyze_cot_positioning`, users can calculate Z-scores, speculative sentiment, and hedging ratios. The `generate_trading_signal` tool applies strict deterministic rules to identify high-conviction BUY and SELL signals based on 'Smart Money' (Commercial) and 'Speculator' (Non-Commercial) positioning relative to price action and historical extremes. Finally, `get_signal_summary` provides a human-readable breakdown of all metrics and decisions.

## Tools

### analyze_cot_positioning
Calculates core statistical metrics and sentiment indicators for a COT reporting period

### generate_trading_signal
Determines the exact trade direction (BUY, SELL, or HOLD)

### get_signal_summary
Formats the final signal output into a human-readable summary

## Prompt Examples

**Prompt:** 
```
Analyze the current COT positioning for Gold using these metrics: commercial net 5000, non-commercial net -2000, Z-score 2.5, price 2050, 50-day MA 2000, net change 6000, days since report 1, and open interest 60000.
```

**Response:** 
```
BUY signal with HIGH conviction. Commercials are heavily long (Z-score 2.5) and price is trending above the 50-day moving average.
```

**Prompt:** 
```
Calculate the statistical metrics for this COT data: commercial long 10000, commercial short 5000, non-commercial long 8000, non-commercial short 2000, open interest 55000, and historical mean 0 with std dev 1000.
```

**Response:** 
```
Commercial Net: 5000, Non-Commercial Net: 6000, Z-Score: 5.0, Speculative Sentiment: 10.9%, Hedging Ratio: 0.5, Divergence: False.
```

**Prompt:** 
```
Generate a summary for a SELL signal where commercial net is -4000, non-commercial net is 7000, Z-score is 2.2, signal is SELL, and conviction is MEDIUM.
```

**Response:** 
```
Signal: SELL | Conviction: MEDIUM. Commercial Net: -4000, Non-Commercial Net: 7000, Z-Score: 2.2. Speculators are extremely long, creating a contrarian sell opportunity.
```

## Frequently Asked Questions

**What is the difference between Commercial and Non-Commercial signals?**
Commercial participants are hedgers (Smart Money) whose positioning often signals fundamental shifts. Non-Commercials are speculators whose extreme positioning often serves as a contrarian indicator.

**How are BUY signals generated?**
A BUY signal is triggered when `commercialNet` is positive, the `cotZScore` exceeds 2.0, and the current price is above the 50-day moving average.

**Does this tool support real-time data?**
The tool processes the COT data provided in the input. To ensure accuracy, the strategy includes a filter to ignore signals if the report is older than 3 days.
