FTSE Trading Report - 31 January 2013

Today I have attached some analysis (Clients Only) of where the FTSE could be heading over the next few weeks. Looking at the pace of the rally since 2nd January this fits as a wave 3 in Elliot wave terms. Wave 3 is the strongest move in a 5 wave sequence.  There are 5 parts to this wave 3 and given the weakness yesterday we look to be in wave 4 down [Read the full report]

FTSE Trading Report - 30 January 2013

More strength from the states has pushed the FTSE to yet another new high with 5 strong UP days in row.   The bulls continue to dominate this market.  As the market is so over stretched, traders who are long in this market will now be placing their stops below the previous days low on a trailing stop basis. They are aware this market could turn at any point and this is a very common place to place stops [Read the full report]

FTSE Trading Report - 29 January 2013

We consolidated yesterday which was on the cards after two trending days. Today there is no dividend for the FTSE which is rare so no trade set up in the afternoon session for us.  

The RSI for the FTSE is way too high [Read the full report]

FTSE Trading Report - 28 January 2013

The FTSE finished on the week's highs on Friday. Most would view this as positive but in an over bought market its actually an indication that the majority have already positioned long in this market and with with the last few days of January coming in, many who have been long in stocks will be quick to book profits.  This is typically the time when the retail market get sucked into bullish sentiment and buy at the top. Greed takes over logical thought process.

MAGNET #### (Clients Only) [Read the full report]

FTSE Trading Report - 25 January 2013

After a trending day yesterday we can expect a consolidation morning. The range should establish after the 1st hour.

We have a magnet today at #### (Clients Only) [Read the full report] 

FTSE Trading Report - 24 January 2013

Still no trade over 6200 for the FTSE during official market hours. As per yesterday if we see trade above 6200 then the FTSE can extend towards 6250 before a correction [Read the full report]

FTSE Trading Report - 23 January 2013

The FTSE is set to open higher this morning. If we trade above 6200 during official hours then we could see trade towards 6250 before we correct.  The correction could then be limited to 6100.

We have a magnet today at #### (Clients Only) [Read the full report]

FTSE Trading Report - 22 January 2013

The FTSE was quiet yesterday as expected and things may not pick up until the US opens this afternoon. The FTSE dividend is 1.9 today [Read the full report]

FTSE Trading Report - 21 January 2013

The FTSE will open up higher this morning and I expect a brief pull back to at least 6172. The larger players will not want to buy the market at the highest price on a Monday morning. If the market then holds 6172 and recovers back above the 8am open price then we could see some buying [Read the full report]

FTSE Trading Report - 18 January 2013

Its options expiry today so we should see the closing gap fill at #### (clients only)  if we open above this level at 8am.

Between 10.10am - 10.20am expect volatility as expiry takes place. Often key moves can come in after expiry.  If expiry is quiet then expect a big move on Monday morning [Read the full report]

FTSE Trading Report - 17 January 2013

The Moving Average 8 on the daily chart is resting at 6096 today and this will serve as a good indication of whether the FTSE is wanting to target 6056-6030 now or whether a new high is needed before we correct towards this figure [Read the full report]

FTSE Trading Report - 16 January 2013

The FTSE had a low of 6086 yesterday and I had mentioned a break below 6085 would be confirmation that the FTSE is topping out with a correction due. As the index just avoided creating this sell signal we could still see one final high towards 6160-6180 before the correction towards 6030 starts. I don't expect price to go above 6200 at this stage [Read the full report]

FTSE Trading Report - 15 January 2013

Today the FTSE has a dividend standing at (2.9). We could see some buying in the last hour of trade and I may recommend a binary trade if we get a pull back on the open price. See appendix 2 in the manual if you are unfamiliar with the FTSE dividend trade.

Major support is 6090 this morning and we have the 8 day moving average on the daily chart standing at 6085 [Read the full report]

FTSE Trading Report - 14 January 2013

The magnet today is #### (Clients Only).  If we see a quick drop towards this level just after the 8am open and then we start trading back above the 8am open price and then 6136 we could see a bullish day [Read the full report]

FTSE Trading Report - 11 January 2013

The FTSE retested Wednesday's highs yesterday (6112) and eventually hit the magnet target (#### Clients Only) towards the end of the trading session which was also the low of the day. A failure for the FTSE to trade above 6120 today will increase selling pressure and a much needed correction [Read the full report]

FTSE Trading Report - 10 January 2013

The FTSE traded above 6090 yesterday which indicates this bull run could continue towards 6180 before we see a correction towards 5940. What I will say is we are trading just about at the top of a trending channel since June 2012. When we do see a correction it will be quick [Read the full report]

FTSE Trading Report - 9 January 2013

The trend is still clearly up but whilst we avoid trading above 6090 my medium term forecast still indicates we are due a short term correction. Ideally I would be trading with the trend but the recent move from early January is a little over done [Read the full report]

FTSE Trading Report - 8 January 2013

No real change to my analysis from yesterday.

In a bull market its common to see a negative Monday followed by a reversal Tuesday (i.e to the up side). If we don't see this today then its likely we have a top just under 6100 with a target at 5940. 

In terms of trading today we will us a break of the 5 min bar system no.2 to the downside only to enter us [Read the full report]

FTSE Trading Report - 7 January 2013

A clear break above 6067 was made on Friday and we are duly trading higher. Technically the FTSE is positive whilst we trade above 5990 but at the same time a pull back is needed. On the daily charts we are trading well away from the Moving Average 8 (the market often pulls back to this moving average after an extended move) and the RSI diverges negatively against price.  The risk for a correction to the downside is therefore high so although the market is positive I am not keen buying at levels near the 2011 highs [Read the full report]

FTSE Trading Report - 4 January 2013

We have non farm payrolls today at 1.30pm so expect volatility at this time.  The news release will confirm whether a move down towards a target at 5810 is imminent or not [Read the full report]

FTSE Trading Report - 3 January 2013

After a 2.5% rise on the FTSE yesterday expect a consolidation day today (range bound) as the market digests the price action from yesterday.  We should see the closing gap at #### (Clients only) get reached today whether we open above or below this level at 8am. 

FTSE Trading Report - 2 January 2013

Happy New Year to you all.

The FTSE is marked up high this morning on the FISCAL CLIFF news and we can expect another retest of the 6000 level or just above this area as a result of positive sentiment from the deal [Read the full report]