A change in market sentiment in the offing?

Indices have continued to trend upwards with the S&P500 putting in a record month of gains in April. Over the past few weeks however, many chartists have been calling a 'top', attempting to time the apparently imminent market consolidation and position themselves to profit from it. They've lost money in the process. Can you say "The trend is your friend"? Technical Analysis though, is a subjective sport, an art not a science, and so by no means a guarantee of consistent trading profits. But crucially, appropriate usage assists today's diligent trader in timing his/her position. With this in mind, the S&P500 chart looks increasingly overbought. We are also approaching the upper end of a channel within which the S&P 500 has been confined since May 2007:



Remember as well guys that May throught September is historically the worse period for the markets:




I, for one, will be positioning myself accordingly!

Happy trading all!

Trade Update: Cable short

We closed out @ 1.5935 for 65 pips. Maybe should've closed out a bit earlier but we suspected that this could move more substantially than it did today. Money in the bank!

Stay focused!

Trade Update: Cable trade

Our cable trade is now in profit. We have moved stops to break even and will now hold tight. There's plenty of upside potential on this one.

Happy Trading!

Beware Existing Home Sales Data

Existing Home Sales Data is out at 1500 GMT. In layman's terms:

"the annualized number of residential buildings that were sold during the previous month, excluding new construction"

4.68 million is forecast; as per usual, substantial deviation from the expected number could shape the course of the trading day.

Happy trading to you all!

Trade: Winding up S&P long

We are now closing out our long position from yesterday morning; a great looking triple bottom formed on the hourly chart above.
However, a consolidation is not out of the question over the course of the next few days as we move into an area of recently tested resistance - 920/930.

Trade: Cable short @ 1.6000

I'm short cable @ 1.6000.....
We're smack bang at the top of the channel in the above chart and so potential upside, proportionate to risk is sizeable.