The Traders’s Journal

Yesterday the FTSE lost 130 points to close down at 3,874 at its lowest level for five and a half years. Today look for continued volatility towards the end of the session and week given there is no major market moving news releases coupled with the usual end of week position profit taking. In America yesterday, the Dow Jones fell 444 points to again breach the 8,000 level and, after an upward surge before lunch, the Bears held sway so that the index trailed down nearly 800 points from the day’s high, finishing at 7,552. Today, as with the FTSE, look for continued volatility. Such has been the level and speed of decline in recent days, there are now renewed calls to reinstate the ban on short selling of 799 shares in the American markets that was lifted there on October the 8^th. Oil is currently trading at $48.75 the lowest level since mid 2005 and Gold is at $745.90.

Yesterday the FTSE lost 202 points to close down at 4,005, The Bank of England minutes release had little effect as nothing that wasn’t already suspected, was revealed or indicated. A further cut in rates is likely, come the 4^th of December. Today with Retail Sales figures out at 9.30 am GMT look for early strength and then the break of the 4,000 level for further decisive downward directional movement, should the news be worse than expected. In America yesterday, the Dow Jones fell 427 points to breach the 8,000 level finishing at 7,997. Today, as with the FTSE, look for early strength followed by continued volatility towards the end of the week. With little scheduled market making news to end the week component news and further global economic negativity will be driving this market. Oil is currently trading at $52.96 and Gold is at $733.80. That’s it for now good trading I will speak with you tomorrow.

Yesterday the FTSE closed up 76 points at 4,208 having started with continued weakness from the day before the index then lifted in the last three hours of the session in a 140 point rally. Today only the bank of England minutes, out at 9.30 am, offer any UK news led movement, as yesterday’s post FTSE close activity on the industrial average coupled with American news breaks, will be the main source of directional movement. The Dow Jones showed early strength but peaked just below the 8,500 level and then fell to very close to the 8,100 and then rallied 300 points back to close up 151 points at 8,424. Continued concerns over the potential failure of General Motors is driving (pardon the pun) further economic fears, and yesterday, with the Producer Price Index reports presenting a 2.8 % drop, commodities are clearly feeling a lessening in demand due to the global downturn, not least of which Oil, indicated to continue its fall in price, is currently trading at $54.74 whilst Gold is at $737.40. Today with a raft of major market news covering the Consumer Price Index figures and Housing Starts at 1.30 pm GMT and finishing up with the minutes of the Federal monetary committee meeting at 7pm GMT look for further weakness and ranging volatility should the news negative. That’s it for now, good trading and I will speak with you tomorrow. 

The FTSE closed down 100 points at 4,132 yesterday, basically trailing down with some initial directional indecision granted by the Dow’s movements from the open the index then traded sideways to an oscillation in the last two hours of the session. Today with Consumer Price Index reports along with the Retail Price Index Figures released at 9.30 am Greenwich Mean Time look to the break of 4,100 on the downside and 4,300 level above the 20 moving average for decisive directional movement. The Dow Jones showed early weakness in a continuation of Friday’s fall from the that day’s high for the first hour of trading and then rallied strongly over 300 points to then oscillate down to a final 150 point drop in the last 15 minutes. All wrought from further recession worries. Today with the Producer Price Index reports released at 1.30 pm and Capital Flow figures out at 2 pm look for an interesting pre-market open and a continuation of the current downward streak should the news be worse than expected. Oil is currently at  $54.95 and Gold is at $724.00. That’s it for now, good trading and I will speak with you tomorrow. 

Friday’s close saw the FTSE gain 63 points to finish at 4,233. Today with no major market moving news out today look to component news for the directional influence. The Dow traded down from the open on Friday, having reached the 8,500 level, the index then rallied back to 8,900 resistance, only to fail to the close to end the day just beneath 8,500 at 8,497 with a big loss of 338 points. Today look for tests at the 8,000 level and 8,900 resistance and a break through these could spark the next big move. With little news out today in America other than manufacturing figures at 1.30 pm component news will be the catalyst for moves. Oil is trading at $57.04 and Gold is currently at $742.50. That’s it for now, good trading and I will speak to you tomorrow.

Yesterday the FTSE closed at 4,169 with a loss of only 12 points having traded in a 120 point channel throughout the session. With no Market moving news out on this side of the pond today’s movements are likely to be linked very strongly to the Dow’s Thursday outing as the Industrial Average finished up yesterday. After a continuation of the weakness that has been the hallmark of this week the index then bounced from beneath the 8,000 level to rally over 870 points to close at 8,835. This massive move occurred after the FTSE’s close so watch for significant reaction to this at Friday’s opening and then expect a round of end of week position profit taking and selling off to take advantage of the high’s of yesterday. There is also a raft of news out from 1.30 pm onwards through to 3pm including the Advanced Retail Sales. Oil is still below $60 at $59.55 and Gold is now at $735.40 gaining back the previous days losses. That’s it for now, have a great day’s trading a wonderful weekend and I will speak with you on Monday.

Yesterday’s close of the FTSE was 64 points lower than the previous day at 4,182 having dropped under pressure from the losses on Wall Street. The index attempted a bounce back from early losses but continued to fall from noon to an hour out from the finish when the bargain hunters leapt in to swipe some cut price shares. Today look to the 4,400 and 4,100 levels which, if broken and held are likely to give the greatest confirmation of decisive direction. With no British market moving news today look to the plethora of European news out just prior to the off in London and then American Trade Balance figures out at 1.30 pm along with lower level employment news breaks to give cause for price action around those times. Yesterday the Dow Jones fell by another 411 points, with weakness from the outset until the close, leaving the index to finish at 8,282. As mentioned the release of Trade Balance figures coupled with further global economy unrest and indecision watch the 8,150 level 8,700 on the upside for the next major potential move. Oil and Gold fell too with oil reaching a 21 month low of $55.73 and Gold dropping over $22 to $710.70. That’s it for now good trading and I will speak with you tomorrow.

Yesterday the FTSE closed down 157 points at 4246, showing weakness from the outset and trailing down to a consolidation in the final two hours of trading as seen on the 5 minute chart. Today with a raft of newsbreaks that are all at low level watch for component news and pressure from the Dow should the industrial average find decisive direction. The Dow Jones fell with early weakness and then traded in a 300 point range to end the day with an overall loss against Monday’s close of 177 at 8,693. Today with further pressure from the Asia markets over continued concerns that despite all efforts to the contrary the economy is worsening on the back of fears that Japan’s economy is likely to grind to a halt in the third quarter. With only low level news out today look to component news for directional movement. If yesterday’s low is broken and sustained this could signal the next fall towards the 8,100 level. Oil is trading below the $60 level at $59.43 and gold is at $735.70. Good trading and I will speak with you tomorrow.

Yesterday the FTSE ended 38 points higher at 4,403 but significantly down from the day’s high of 4,524 on the back of the Miners, which surged after China approved its $586 billion government spending economy rescue plan. Today with our Trade Balance figures out at 9.30 am look to the break of the 4,350 level for downward directional movement or a flirtation with the 50 ema at around the 4,620 level for another bounce back to trend. In America after early strength the Dow Jones trailed down throughout the day from a high of 9,158 to close down 73 points at 8,870 as concerns over major stocks weakness overshadowed any positive impetuous that the Chinese plan may have had. Look to the Asia markets positivism for early directional movement above the 8,750 level and profit taking to render any upward movement null and void throughout the session. Oil is currently at $62.52 and Gold trades at $746.90. That’s it for now, good trading and I will speak with you tomorrow.

The FTSE gained 114 points on Friday to finish at 4,387. With Producer Price Index figures out today at 9.30am watch the index at that time for early directional movement. In America the Dow opened Friday with early strength through the 8,800 mark and traded within 160 points of that level throughout the session. The index eventually closed the day just beneath the 9,000 level to finish up 248 points at 8,943. With no market moving news look to the Asia markets reaction to the Chinese bailout plan and component news for directional indication. Oil is currently at $61.04 and Gold is at $734.10. Good trading and I will speak with you tomorrow