megaphone top Tag

It's been an interesting Week that has shown a number of potential medium term trend changes. After shorting SPX at 1596 in a speculative manner based on that huge multi-Month Megaphone top pattern I've since realised there may be more to this set-up than first anticipated. The original analysis can be found here.

Although I promised myself the NZD:CHF swing long would not be closed until the 0.8210 target was hit, this mornings rally had a bit of a blow-off look to it and I couldn't resist closing the trade at 0.8064 to bank a 109 point profit. Taking that profit probably wasn't a professional thing to do as it technically makes the risk vs reward on the trade less than 1:1 because the stop loss was around 200 points away. Anyway, its done now and the trade is closed, but I probably wouldn't discount re-entering the position if circumstances become attractive again.

Whilst waiting for previously discussed swing trade entries (aside from NZD:CHF where I entered the proposed swing long), here's a snap shot of whats going on with Indices.

FTSE 4 Hourly.

No obvious direction but I'd probably want to wait for the outcome of this descending triangle before taking any position. A descending triangle is usually bearish and a breakdown would offer a technical measured move target of 6135

A quick mention before I talk about this FTSE chart in case you missed it in the comments section, the USD:CHF swing long is now 90% closed. I've not marked it on the trades log yet simply because I opted to run the last 10% of the trade just to see where it takes me. With DOW making all time new highs today, I thought I'd take a look at FTSE.