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General TradingC

Commodity Trading Advisor (CTA)

A Commodity Trading Advisor (CTA) is a registered professional or firm that provides advice on buying and selling futures contracts, commodity options, or forex. CTAs are regulated by the CFTC and NFA, and many employ systematic, trend-following strategies to manage client funds. CTA positioning data is closely tracked by institutional investors because their collective buying and selling can amplify trends across commodity and financial futures markets.

Example

CTAs piled into long positions in crude oil as the trend-following models triggered buy signals after the breakout above $85.