Key Levels

Hi,

Hopefully you enjoyed all the excitement of yesterday and have some profit locked in. You may have even taken the windfall profit just before the US markets opened yesterday and who could blame you! As expected after awild move, the markets have drawn back as traders take profit, but I do expect a further push lower today to retest the lows of yesterday. All three pairs have established strong downtrends, and while I am expecting further consolidations and a draw back, I do believe they will continue to fall. We now have descending triangles forming at yesterdays closes and we are at key levels. A break to the low side will, I believe trigger another precipitous fall. If the support holds, we will undoubtedly see consolidation for further attempts to break or a pull back at least to the 1hr 62EMA or 5 min 800SMA. I will be taking additional positions on a close below the following levels, having moved stop losses on my other positions to at least breakeven. Tony 1.6077; Cable 1.4847; Yippon 132.56












































I am currently up about 550 points, with 200 of those locked in. I intend holding for a break below these key levels, good luck!

Going Short!!

Hi,

Apologies again for the break in transmission, work took me to Turkey for the week and I did not have a good enough connection to trade or blog on the move. While I was away, the big break has clearly started I am pleased to see that it broke to the short side which is what I favoured, but less pleased that I missed the entries on Cable and Yippon. However, I did get in on Tony and have just opened my second position, below. This is now free falling into the abyss that I described earlier, and it is now retesting the low at 1.6120. If it can break that low, I believe it will head on towards 1.582 and ultimately retest 1.5097! I aim to try and hold on to this for as long as possible and have already moved my stop losses up to break even and will start to lock in profit as this pair continues to fall. I will be adding a further short position on a 1 hr break of the next significant support at 1.612















Similarly, with Yipppon, I know I have missed the entry I advertised in my last blog (500 pips ago!), but I am keen to enter short and will do so on a break below the support at 134.66, again hoping to fall into the abyss on the way down to 118.69!! This will be a small position initially, as I also want to jump on the band wagon with Cable....
















Cable,

This has been in a good downtrend for some time, and now appears to be gathering momentum. I want to be short below 1.50 97, and ride it towards 1.43950
















As I have been typing this, Cable and Yippon have smashed through resistance, and I am now short on both.