Trade DiaryOver the last few weeks I haven’t been trading that much and it’s never a good idea to jump back into trading after a holiday as I learnt last time. Having settled nicely into my new apartment (getting TV channels today) I am more tuned into what’s going on. Having no CNBC is sometimes a help. I have a few articles I want to write and I want to re shuffle the site a little too. For the moment though let’s get down to business.
I am currently 5 Euro short on FTSE September futures. This is part of my longer term plan to short above 4000 on the FTSE 100. My intention is to ride any euphoria and accumulate a 20 Euro position. My short entry points will be at these levels: 4000, 4050, 4100 and 4150. My hope is to exit at 3,800.
My shorting strategy is tempered by the recent strength in the markets and I do believe we may have hit a market low which is why my expectations do not fall below the 3,800 level. To the upside I can’t find any reason the buy above 4000 but may consider buying at 3800 level if that level holds. I don’t think any rally will push above 4,500 and such levels would be swiftly sold into.
Now onto Apple; I really wanted to try something different and dip my toe a little into stocks now that my margin is sufficient to cope with this. I have thought of entering the gold trade but I’m not that confident yet. With Apple at $120 I was confident of a retracement and sold at those levels. Apple is a volatile stock and when I use to demo trade I used to trade it and quickly realised it was too liquid for me. At the moment I only have a .25 cent trade on but my build that up if we head back over $121. My exit for this trade is $92.
Entry: 4000 – 4150 FTSE (September Contracts)
Exit: 3800
Stop (Mental): 4500
Point Size: 20 Euro (5 x 4)
Estimated Return: 1500
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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Hi mate – great site
I’m following the FTSE also, I’ve been following the markets for about 18 months after reading the same silly book as you. I’m living in Sydney at the moment so its a bit difficult with the time difference but starting to put some small positions on. Very poor entry yesterday caused me to lose confidence and fidle with the stop loss, got stoped out at around 4020. Do you prefer the future contracts to rolling day? good luck I’ll be following with anticipation.
Damo
I prefer future contracts as my view is always longer term, that way the day to day noise doesnt affect me that much. I work too and can’t keep a constant eye on the markets so longer term suits me. It really depends on what suits your needs but I’m happy this way. I’m currently shorting FTSE September and building up a good big short.
all change today!