27 Oct This Week’s Swing Trading Round Up; 27th October 2012
This Week was particularly interesting to watch unfolding events across a number of markets but with commitments elsewhere I didn’t get the opportunity to get too involved with anything from the watch list.
CAD:JPY is still high up on the potential trades list whilst this apparent topping action continues to bounce around. Ideally I want to catch this for a swing short just as it starts it’s descent, but for now it remains choppy and still has the potential to continue North, though with 3 marginally lower highs the probability still favours the down-side.
The AUD:CAD set-up appears to have failed, but I’ll continue to watch as price has now found possible resistance at the 61.8% Fib level.
The EUR:GBP set-up turned out to be excellent, with price selling off almost immediately following last Weekends post. Unfortunately I missed my preferred entries and didn’t get a chance to enter the trade at levels I was happy with.
There was one trade I did take based not on T.A but on a strong rumour that BOJ were going to provide further stimulus. The trade was GBP:JPY. I entered long on Wednesday evening and overnight news of $400 billion stimulus followed, and I covered the trade Thursday evening for around 170 pips. Due to the risks and nature of this type of trade I chose not to post it because from a technical view point it could have gone either way.
With regards to Stock Indices, I suspect we will see one or 2 small legs up over the coming Week, but don’t really have any solid evidence for either direction and would like to see Monday play out before committing to anything more than an occasional scalp.
I’ll try and have a more detailed scan through the charts on Sunday, and will of course post details of anything note-worthy.
In the meantime, have a great Weekend, and don’t forget with Clocks going back tonight the U.S Indices will be closing at 8pm U.K time instead of the usual 9pm.