Trade DiaryThe great thing about spread betting is that you never stop learning. This is a case in point. Markets routinely like to shake things up. These shakes are created by the infamous “Market Makers” whose job it is to keep things interesting. A market maker is actually a firm who quotes both a buy and a sell price in a financial instrument or commodity, hoping to make a profit on the turn or the bid/offer spread. Now and then during the trading day but more generally at the open and close you will see dips above or below resistance points. These are anomalies when looked at in the content of the general emerging trend. The purpose of these spikes is to catch traders out and who have positioned their stop losses at a key resistance points or close to them. In general these spikes are only going to be a rise or fall of 10 points or so below or above a resistance point.
Say for example you buy the FTSE at 6523 and the FTSE shows a resistance point of 6500. Well the key place to position your stop loss is a few points below that at a non rounded number for example 6487. This allows you extra breathing space when the markets get the odd shake.
I'm still very bullish on the FTSE 100 as we are over 5,300. Gold is doing great and the dollar is weak. This all looks good for a year end rally to 5,500 for the FTSE 100. 
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