January 2013

Only the one swing trade taken this Week, and exited 24 hours later. That was the EUR:USD long, the analysis behind which can be found in this post. It rallied almost straight away after entering and 24 hours later price was rejected from quite strong resistance at the top of the recent range, which happened to coincide with the triangle I'd marked out in the previous analysis.

Just a brief update this Week and unfortunately no charts due to internet connection problems corrupting uploads to the site. Again I spent most of this Week day trading but observed that it's been more difficult to maintain the gains of the previous 2 Weeks mainly because we've not had any volatility in Indices as they've been trending, but trending slowly! I didn't want to participate in longs beyond DOW 13,600 due to overbought conditions whilst neither was there any reason to go short.

Not finding anything particularly easy to read at the moment, so treat the following post as me thinking aloud! The 2 Indices I trade most are DOW and FTSE, so I'll start with my thoughts on those. First of all to make clear, I have no idea where they are going, struggling a bit to be honest, so the following is based on my system.

Lots of swing trading opportunities, but sadly, other than a bad one, I didn't get to take any of them. Of the stocks I'd mentioned last Week, most gapped up on Monday's open and rallied from the outset soon leaving them in overbought conditions on smaller time frames thus removeing the appeal of entering at safe levels. I'll continue to watch them but  as a couple could be extended rallies within longer term down trends it's difficult to commit long fearing they may reverse any moment.