13 Jan This Week’s Swing Trading Round Up; 13th January 2013
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.
I also had an interest in selling CHF through USD:CHF and GBP:CHF longs from what has historically been areas of strong support. I did enter long on GBP:CHF but got stopped out, other CHF pairs also broke their respective supports which caught me out somewhat as I didn’t see it coming.
Meanwhile, Day trading has been particularly good this Week with strong intraday moves that have been easier than usual to trade.
EUR:USD was another potential trade I’d talked about during the Week, in fact I was quite close to entering long in the 1.3060 area, then decided to hold on for a few hours, but on revisiting the chart later that day I was amazed to see it had rallied 200 pips, meaning I’d missed another opportunity!
As for Indices, I’d been quite confident in last Week’s update that we’d see DOW 13,500 this Week and futures did get pretty close with a high of 13,499.5 and through day trades I did participate in most of the move, but I’m less confident of this strength continuing next Week as FTSE is showing some signs of a possible topping formation on smaller time frames. This is by no means confirmed, nor is it reflected in U.S Indice charts, but until FTSE properly takes out last Week’s high I’ll be cautious on the long side, and may consider day trade shorts on weakness that takes price below 6095.
With regards to new swing trades, I’ve not got any fresh set-ups ready at the moment but will look through a few charts this evening and post any worthy findings.
Hope you are enjoying the Weekend.