You may have spotted there was no trading round-up over the Weekend just gone. This was simply due to the fact no new trades have been taken and the suggested swing trades I had lined up either didn't provide what I was looking for on smaller time frames to enter, or, I missed the entries and decided to let them go.
There are a couple of swing set-ups I'd like to focus on over the next couple of days and I'll post further details ahead of entries if they start going to plan.
Just a quick post to make you aware of this set-up if you've not yet seen it.
As simple as the set-up looks, its worth watching because such trades can deliver significant Risk Versus Reward ratios based around the ability to quickly spot if the trade isn't going to work out.
Any signs of resistance at the re-test of this falling channel should find sellers. If the trade is entered and price continues straight upwards then its best to cut losses quickly and forget about it. Some of my most profitable trades have come from set-ups like this so even if only 1/3 of them play out, they are still worth taking note of.
Sometimes the Markets get the better of me and no matter how much I analyse the situation there just doesn't seem to be an answer that can prevent the same occurrence in the future. Such an occurrence arose today with the NZD:CHF swing long.
This is the 2nd swing long in succession on this pair having taken profits first time round only to see another desirable set-up soon after. Having held this 2nd swing for almost 2 Weeks with absolutely no progress, last night I decided it was time for a closer look. The result of this was to effectively forfeit any further risk by setting the stop loss at break even.
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.
Hope your Week is going better than mine! Though my Swing Trades are all looking good and even the DOW swing short is still showing good profits despite this Week's 500 point rise, the 2 day trades I entered today left a lot to be desired!
So I've had a scan through my watchlist and the following charts define those I consider most likely
As you know, half of last Week's EUR:AUD short was covered ahead of a bullish set-up on shorter time frames that could lead to a 2nd short entry.
On 4 hourly and Daily time frames, the areas detailed in the following charts show levels where resistance should be prevalent if the move down is to resume.
My previous Cable Swing Long on a pull back from the recent high proved to be a little premature as the correction we've seen has been much deeper and ferocious. If only it had been a swing short!
Glancing through the chart now there's a few things that have caught my eye