08:05am    Back trading today after a short break following last week’s sad news, I will be spending most of today replying to all the very kind emails that I have received over the past 5 days. Any trades I have will be reported here through the day.

Market Update:

While I’ve been away there’s been some pretty dramatic moves on the equity market which was kicked off by the Chinese Government Yuan devaluation last week that was supposed to help their economy but has instead started a worldwide market downturn. Many commentators thought the weekend break would halt the falls but overnight the Asian markets have finished down with Chinese equities falling over 8%. Futures in the U.S. are also well below last week’s levels and European shares are now around 2%-3% below Friday’s close.

The Crude Oil market is also suffering with U.S. WTI Crude price is now down below the crucial $40 level on the back of Iran’s statement on increased production following the lifting of sanctions, my chart is starting to signal further falls.  With equity markets tumbling, it’s no real surprise that Gold is enjoying a surge as investors look for safety and is building on last week’s rise, it jumped overnight and is currently sitting at $1154.20.

Trading Diary:

08:55am   Still watching my WTI Crude as there seems to be a possible ‘short’ trendFX pattern developing.

09:20am   Now in a ‘short’ position on my WTI chart – the stop loss this time is 19 pips.

10:25am   In today’s volatile market I am not too sure where the bottom is so I’m now out of my WTI Crude trade with a quick +52 pip profit.

11:05am    Still seeing bearish trading possibilities and I am now in another trendFX ‘short’ position, this time on my S&P 500 chart. Stop loss is 89 pips and this reflects the fact that markets are quite volatile today and also I am on a higher timeframe chart than usual.

15:00pm   Out of my S&P trade now — the U.S. trading session is well underway and the price has been as low as 1834.70 but I closed off just now at 1887.30 as the price reversed quickly, which means a profit of +501 pips.

15:35pm    Off out for the rest of the day so no more trading.