08:05am (7:05am UK time)  ~  It looks like another day outside helping the builders today but I shall be here in the study on and off this morning catching up on emails. Firstly though, I am off for a quick cycle ride with a neighbour towards Formentor before it gets too hot.

The main news breaking this morning is that China’s Manufacturing PMI hit a 3-month low overnight which seems to suggest that their economy is faltering which in these days of a global marketplace is going to have knock-on effects elsewhere. Over in the U.S. the S&P500 finished at near all time highs last night, very close to a resistance level around 1990, despite FOMC minutes suggesting that a rate rise maybe closer than many investors had previously thought.  This news initially sent the main markets into a tailspin but they quickly recovered and finished ahead for the day after encouraging corporate news including Home Depot who are benefiting from the buoyant U.S. housing market. There was a different story over here in Europe where the German Dax 30 index is well off the highs of mid-June although rumours regarding the European Central Bank introducing some stimulus to get the Eurozone going again should keep it going in its present bullish trajectory.

West Texas Crude had a rare bullish day yesterday after the week’s stocktaking numbers were released – there was an unexpected drop in inventory, down by just over 1.4 million barrels and this helped move the price upto $93.55 at the close of trading.  Gold on the other hand fell for the fourth day in a row, yesterday’s prompt was rumours of an earlier than expected rate rise following the FOMC minutes.  It closed at $1292 last night but is now sitting at the $1280 support level as I am typing this update.

Market Close Wednesday 20th Aug. 2014:  Dow Jones 30  +59.54 @ 16,979.13  S&P 500  +4.91 @ 1,986.51  FTSE 100  -23.83 @ 6,755.48  DAX 30  -19.71 @ 9,314.57  CAC 40  -13.66 @ 4,240.79

18:05pm  ~  Had a nice day out in the sun helping out the builders and I’m now back in the kitchen watching the S&P 500 on this laptop to see if there’s any “Trade With A Day Job” set-ups in the next hour or so.

18:20pm  ~  Maybe a ‘long’ position setting up….

18:35pm  ~  I am now in the market with an 11 pip stop loss.

20:55pm (19:55 UK time)  ~   I have been reminded by the blonde that we’re out in about 30 seconds so I’ve closed off the S&P trade with a 25 pip profit.

Daily Target +20 pips

Pips Achieved +25 pips

09:05am (8:05 UK time)  ~  After a very late night, I am having a slow start to my Wednesday but will do some chart watching later this morning.

Overnight the Asian markets eased up slightly with the Japanese Nikkei index now on its 8th straight day of gains but, along with other indices, will probably tread water ahead of central bankers meetings later today.  The U.S. economy seems to be racing ahead with good news out yesterday regarding home building together with bullish corporate earnings, so there is doubt about how long Fed chairman Janet Yellen can keep interest rates at these record lows – we will see a report of the last rate meeting at 8pm tonight (7pm UK time) and the UK interest rate meeting minutes will be revealed soon after the European trading session opens this morning.

Anyone who was trading Oil yesterday will have noticed the large move downwards for West Texas Intermediate – this was blamed mainly on large stocks and falling demand which is fairly typical at the end of the summer months. WTI Crude ended yesterday at $94:48 down nearly $2 and is now at its lowest level since January although there is fairly strong support at $91:20 so we may see a slow down in the bearish trend soon. Gold had a third day of falls and is stuck in a trading range between $1324 and $1280 and it seems as though there is no real support at $1300 anymore – yesterday’s fall was blamed the strength of equities as traders are slowly becoming more bullish after recent geo-political troubles.

Market Close Tuesday 19th Aug. 2014:  Dow Jones 30  +80.85 @ 16,919.59  S&P 500  +9.86 @ 1,981.60  FTSE 100  +38.06 @ 6,779.31  DAX 30  +88.95 @ 9,334.28  CAC 40  +23.80 @ 4,254.45

09:45am  ~  Just watching a few charts while doing some trading updates to students and I can see a possible trendFX strategy 1 pattern setting up on my Dax 30 chart.

10:10am  ~  I am now in a ‘short’ position on my Dax chart with a 28 pip stop loss.

11:30am  ~  My Dax position is doing ok so far up by 10 pips so far.  There was an earlier trendFX ‘long’ opportunity on Brent Oil but I missed the entry as I was outside talking to the builders – it’s doing ok as well.

14:50pm  ~  We’re in the middle of the volatile U.S. trading session start and the Dax price has come down quite considerably but not really sure where’s it heading soon – so I’ve closed my position at +55 pips.

23:40pm  ~  I have been out helping the builders for the afternoon and most of the evening so no further trading to report.

Daily Target +20 pips

Pips Achieved +55 pips

07:40am (6:40am UK time)  ~  After a day away from the markets I shall be doing some chart watching today while here in the study doing emails and Skype calls.

It would seem that geo-political worries across the world are having less of an impact on equities this week than previously, overnight the Asian markets have rallied on the back of good data regarding the state of the U.S. housing market, it is good to see traders once again concentrating on fundamentals rather than political problems. having said that, tensions in Ukraine seem to be subsiding and success in Iraq against IS forces are giving traders more reason to get buying once again and on the back of this plus developing mergers and acquisitions in the U.S. the Nasdaq hit a new high during yesterday’s session together with the leading Dow Jones 30 index climbing 175 points to 16838.

Oil prices across the globe eased off yesterday as the situation in Iraq changed in favour of the Kurds who drove IS fighters away from Mosul Dam, so showing the world that they have some fight left in them, although it’s not clear whether they would have been so successful without U.S. intervention. A barrel of WTI Crude fell just under $1 to $96.24 with Brent experiencing a similiar drop in value and is now at a level that’s not been seen since June last year.  Gold inevitably has been hit by the recent rise in Asian and U.S. equities and is now sitting just above the $1290 support level and the weekly charts still shows a move down towards $1240 is on the cards over the next few months.

Market Close Monday 18th Aug. 2014:  Dow Jones 30  +175.83 @ 16,838.74  S&P 500  +16.68 @ 1,971.74  FTSE 100  +52.17 @ 6,741.25  DAX 30  +152.73 @ 9,245.33  CAC 40  +56.29 @ 4,230.65

11:05am  ~  Not much happening on my charts over the past hour – so I am off for a quick cycle ride towards Formentor with a neighbour for an hour or so.

13:25pm  ~  I am back watching my charts and there maybe a ‘short’ UTB trade coming up on my Brent Oil chart.

13:40pm  ~  The Brent Oil price has come down sufficiently to trigger a ‘short’ position so I’m in the market with a 15 pip stop loss.  The U.S. market is starting up quite soon so caution must be exercised with stop losses firmly in place in case of sudden volatility.

15:40pm  ~  Going to help the builders with some work outside so I’ve closed off my position. The end result is a small profit of +38 pips.

18:30pm  ~  Just come inside so after a shower I’ll watch my S&P 500 chart for an hour or so to see if there’s any “Trade With A Day Job” set-ups.

19:50pm  ~   In a ‘long’ position with a 10 pip stop loss.

20:40pm  ~  We’re out quite soon for the evening and the S&P has lost a lot of trading volume over the last 30 minutes so I have come out of my position with a +16 pip profit.

Daily Target +20 pips

Pips Achieved +54 pips

09:10am (8:10am UK time)  ~  A lazy start to a quiet day, we still have house guests so I shall not be doing any trading today – although I shall be answering emails for an hour or so this morning.

The markets on Friday were all about Ukraine – news from their army that they had destroyed Russian military vehicles as they crossed the border put equities into a tailspin which resulted in the S&P 500 dropping over 230 pips in just over an hour. After this initial reaction most markets recovered fairly quickly as bargain hunters appeared from the woodwork although not enough to end the session ahead – but today’s opening seem to suggest that more bullish activity is on the cards. The overnight Asian session which has just come to an end was quite choppy as traders over there are waiting for an update from the region.

Gold had a volatile session on Friday, ending the week down overall although the Ukrainian problems did cause a surge late in the afternoon of around $18 as investors moved out of equities and over to safer commodities. The value will be mostly influenced by the Fed’s interest rate minutes on Wednesday though so trading may well be in a tight range until then. As expected, Crude Oil prices rose sharply on Friday with news of Russian Armoured Forces been hit as their country is a major exporter and nobody knows what kind of retaliation President Putin will enforce towards the West.  West Texas Crude was in a bullish mood for most of Friday and ended nearly $2 up at $97.35 by the evening.

Market Close Friday 15th Aug. 2014:  Dow Jones 30  -50.67 @ 16,662.91  S&P 500  -0.12 @ 1,955.06  FTSE 100  +3.82 @ 6,689.08  DAX 30  -132.50 @ 9,092.60  CAC 40  -31.07 @ 4,174.36

Daily Target +20 pips

Pips Achieved – No Trading Today

08:35am (7:35 UK time)  ~   A quiet day for me today, we have friends arriving for the weekend so I shall be off to Palma airport later but before then I shall be doing some emails and a small amount of chart watching.

Asian markets took a breather last night after 4 days of upward movement, the Japanese Nikkei index ended broadly flat at 15302 in stark contrast to U.S. equities where the Dow Jones 30 reached a 2-week high at 16713 after trader optimism following President Putin’s speech largely dismissing any armed conflict in Ukraine – although there were reports a few hours ago that Russian military vehicles have driven across the border into Ukraine. In contrast to the bullish sentiment in the U.S. the EU is looking at the prospect of subdued growth and a threat of recession for the biggest of their members, although traders do enjoy this type of bad news as the case for money-printing (quantative easing) becomes more likely which in turn will boost equities.  The daily S&P 500 chart suggests a move back towards the high of 1992 that was reached at the end of last month but it may take a week or so to get there – so watch out for bullish trade opportunities after small pullbacks. WTI Crude price re-adjusted again down to a more realistic level yesterday as geo-political worries subsides and the stock situation shows bigger than normal supplies – the price ended down again last night at $95.56 with the next major support level is around $92

Market Close Thursday 14th Aug. 2014:  Dow Jones 30  +61.78 @ 16,713.58  S&P 500  +8.46 @ 1,955.18  FTSE 100  +28.58 @ 6,685.26  DAX 30  +26.22 @ 9,225.10  CAC 40  +10.64 @ 4,205.43

10:20am  ~  There’s not much happening on my charts this morning but there does look like a possible UTB pattern starting to show on my WTI Crude Oil chart – news of any development soon.

10:45am  ~  I am in the market with a ‘long’ position on WTI with an 18 pip stop loss.

13:25pm  ~  We are off out now to Palma but my WTI trade has not reached an acceptable profit yet – it is hovering around +16 pips – so I’ve set a stop loss at break-even and a profit target of +25 pips.

18:50pm  ~  I’ve been watching my S&P 500 chart for a short while and a “Trade With A Day Job” opportunity came up half an hour ago – which I took and has now ended with a 30 pip profit.  My earlier WTI Crude trade came out at its target of +25 pips.

Daily Target +20 pips

Pips Achieved +55 pips

08:05am (7:05 UK Time)  ~  I am of on a cycle ride in a minute then I shall be helping the builders with work they’re doing here for the next week or so.  I also have 4 Skype calls with people who are keen to learn to trade and would like to know how to get started.

Overnight Asian markets rallied on the back of the rise in U.S. equities following weaker than expected retail figures which traders believe will prompt Fed Chairman Janet Yellen to postpone a rate rise, and this perception may well keep the Dow Jones and S&P indices on their bullish trajectory in the short term.  There is a different story over here in Europe where the ECB is hinting at some more economic stimulus as the member countries are suffering from stagnating growth and selected banking problems. GDP data later today will give traders some clues as to what President Mario Draghi will have in mind for the EU to kickstart the economy once again. The U.S. WTI Crude price fell to $97.30 yesterday on weekly data showing a rise in stocks at Cushing and the prospect of decreasing demand in the U.S. over the next few months, although as autumn weather comes stocks will deplete with a corresponding increase in value – there is quite a strong historic support at $97 so watch out for bullish trade opportunities on lower timeframe charts. Gold has been trading in a range between $1340 and $1280 for a while now and looking at the daily chart gives an impression of more bullish movement in the short term, solid support at $1305 in the past few days gives a clue to more upside movement so look for small pullbacks to enable safe ‘long’ positions up towards the $1323 resistance level.

Market Close Wednesday 13th Aug. 2014:  Dow Jones 30  +91.86 @ 16,651.80  S&P 500  +12.97 @ 1,946.72  FTSE 100  +24.26 @ 6,656.68  DAX 30  +129.41 @ 9,198.88  CAC 40  +32.63 @ 4,194.79

11:20am (CET)  ~  I’ve just come inside and switched on this laptop to do some emails and chart-watching and there’s some interesting movements on the clutch of favourite instruments. More news soon.

11:55am  ~  Update:  There is a possible ‘long’ trendFX trade setting up on my S&P500 chart + a UTB pattern trying to emerge on the Gold chart.

15:30pm  ~  I have had problems updating this diary today – just been able to get back on here. The two possible trades I mentioned earlier both came off and I ran them to just before the opening of the U.S. trading session.  The ‘long’ position on the S&P500 came out at +33 pips and the UTB Gold ‘short’ ended up at +40 pips.

Off to help the builders some more now and then back in front of my charts at 6pm to see if there are any “Trade With A Day Job” opportunities on the S&P chart.

19:40pm  ~  We are off out soon so I am getting close to the end of my evening trading session and nothing has popped up yet – there’s still 15 minutes to go though.

20:00pm  ~  No opportunities this evening – so the total for today still stands at +73 pips after the two earlier trades.

Daily Target +20 pips

Pips Achieved +73 pips

08:25am CET (07:25am UK time)  ~  I have already been out for a cycle ride this morning – and back now and sitting here in the kitchen doing some emails. I have quite a few Skype calls this morning and I shall also be doing some chart watching as well.  Friends around here this afternoon for a tennis match. Overnight trading in Asia was choppy but ultimately ‘flat’ as there was a reluctance for any concerted buying by traders after news that the Japanese economy suffered its largest contraction since 2011 and the U.S. trading session ended in negative figures as geo-political problems still weigh heavily on investors.  There seemed to be no real enthusiasm for a continued march upwards for the S&P 500 and the Dow Jones 30 but positive data regarding jobs plus the expectation of good retail sales numbers later today may kickstart the indices after lunchtime. Over here in Europe there was overnight news that there is poor investor confidence in Germany together with Italy entering recession yet again – plus Portuguese banking problems – this all goes to paint a picture of general gloom for the EU region. U.S. WTI Crude price fell yesterday after reports of increased supplies at Cushing, Wyoming and is now heading towards the $96.30 support level and on the back of this drop. UK Brent Oil also had a bearish session yesterday, still obeying the bearish trend that started during the third week of June and it looks as though the price is heading firmly towards $100.  Gold seems to have reached a plateau after a good run-up following problems in the Middle East and Ukraine, but now seems to be having a breather so watch out for ‘short’ trading opportunities below the pivot level at $1305 amid a continuing drop in demand from Asia in general – it closed yesterday at $1310.30

Market Close Tuesday 12th Aug. 2014:  Dow Jones 30  -9.44 @ 16,560.54  S&P 500  -3.17 @ 1,933.75  FTSE 100  -0.40 @ 6,632.42  DAX 30  -111.47 @ 9,069.47  CAC 40  -35.54 @ 4,162.16

10:55am  ~  Not much happening on my charts so far this morning, so switching them off and getting outside for a while – it’s too sunny to be indoors any longer.

17:50pm  ~  Finished tennis so going to have shower and switch on my S&P 500 chart to watch for any “Trade With A Day Job” set-ups.

18:30pm  ~  The S&P has reversed and I’m in a ‘long’ position with a 16 pip stop loss.

22:15pm  ~  I’ve left the trade alone for the past few hours as we’ve had friends round for supper but I have just closed my trade off and taken a screenshot of the chart. End result +25 pips.

Daily Target +20 pips

Pips Achieved +25 pips

08:50am (7:50 UK time) ~  Quite a restful day for me today, I shall be here in the study this morning doing some emails and Skype calls plus chart watching from time to time I will report back here if I get into any positions.

Gold has had an interesting journey lately, it has been in a bearish trend since the 11th July which coincided with a brief surge in the S&P 500 index but once equity markets took a tumble around the 24th of July everyone expected the precious metal to rise in value as traders move away from more risky investments. Last week it bounced off a previous support/resistance level at $1280 even though its biggest market in Asia has seen a drop in demand this year – and on Friday it formed a reversal candle on the daily chart so it looks as though it is heading back towards last week’s support line which coincides with renewed confidence in equities as the U.S. moves into the airspace above Iraq to stem the ISIS advances and the apparent de-escalation of Russia’s invasion hopes in Ukraine.  This good news helped European markets finish largely ahead by the end of yesterday’s trading session although NATO has poured cold water over any optimism regarding Ukraine, warning that Putin may well try to invade the country by the back door under the guise of humanitarian help.

Crude Oil supply data from the U.S. will be watched closely today by commodity traders, WTI has formed a bearish reversal candle yesterday on its daily chart and has already opened down this morning at just above $97 and there does not seem any support close by so movement down $95 does seem possible as the U.S. ‘driving-season’ is coming to a close soon.

Market Close Monday 11th Aug. 2014:  Dow Jones 30  +16.05 @ 16,569.98  S&P 500  +5.33 @ 1,936.92  FTSE 100  +65.46 @ 6,632.82  DAX 30  +171.42 @ 9,180.74  CAC 40  +49.89 @ 4,197.40

08:55am  ~  Look as though there maybe a UTB trade setting up on my Dax 30 chart.

09:05am  ~  I am now in a ‘short’ position on the Dax with a 16 pip stop loss.

10:45am  ~  The trade is going ok and is in profit but is coming up against a new support level at 9130 so I’ll watch that with interest.

12:55pm  ~  Still in the market although not much movement.

14:35pm  ~  Time for lunch out in town so I have closed off my Dax position, I have managed a profit of +48 pips.

17:45pm  ~  I’ve been back home for an hour or so but not switched my charts on yet – but I have got an hour or so before I go out so I shall have a look at my S&P500 chart and see if any ‘Trade With A Day Job’ set-ups appear.

18:15pm  ~  The S&P price reversed a short while ago and I am now in a ‘long trade with an acceptable 21 pip stop loss.

18:50pm  ~  Well – that was a quick in and out — I have exited the position with a +35 pip profit, giving me a total today of +93 pips.

Daily Target  +20 pips

Pips Achieved  +93 pips

010:05am (09:05 UK Time)  ~  Slightly late market update this morning after a lie-in following a very busy weekend – and no trading for me today as I am off to Palma later this morning to help the builder pick up some materials for work he’s doing here and then I have a tennis match this afternoon.

There was a late rally in equities at the end of last week which has carried on in Asian markets last night as tensions in Ukraine have subsided slightly after President Putin has said that he is finishing Army ‘manoeuvres in Southern Russia close to the Ukrainian border – this is widely seen as a climb-down after economic pressure from the West. Although this is good news for world markets, there is now U.S. intervention in Iraq to focus on with President Obama saying that his fight with ISIS in the north of the country will not be over in a few weeks. Amid all this geo-political turmoil, there has been encouraging economic news over the last week from the world’s largest economy so expect a volatile ride for another few weeks with a move up for equities in the next few days as the bullish long term trend resumes briefly.  The S&P 500 stopped just below the support at 1900 and rebounded on Friday, so many traders are now expecting a concerted effort to reach the significant 2000 level that the index failed to reach back at the end of last month.  In the UK the focus this week will be on employment and inflation data and whether the news is good enough to push the Bank Of England into an early rate rise and Europe is caught in a slightly depressive mood with Portuguese and Italian banking problems and hints that even Germany, the Eurozone’s strongest economy, is feeling the effects of Russia’s retaliation from widespread economic sanctions.

Market Close Friday 8th Aug. 2014:  Dow Jones 30  +186.66 @ 16,553.93  S&P 500  +22.02 @ 1,931.9  FTSE 100  -30.01 @ 6,567.36  DAX 30  -29.65 @ 9,009.32  CAC 40  -2.02 @ 4,147.81

Daily Target   +20 pips

Pips Achieved  -  No Trading Today

08:25am (07:25 UK time)  ~  Off for a cycle ride in a minute over to Formentor before it gets too hot and then back here to do some emails and chart watching before I am off at 2 o’clock to meet friends for lunch in Soller.

A sea of red has hit markets at the moment – and trading in Asia overnight has added to losses for equity markets as President Obama announced that he is going to authorise air strikes in Iraq to ‘protect U.S. interests’ and limit the advances of Islamic State militants in the north of the country where they have captured Qaraqosh, Iraq”s biggest Christian town. This together with increasing tensions in Ukraine means that geo-political problems have overtaken fundamentals as the main driver for the markets as U.S. equities could not advance even though there was fairly good jobs data out yesterday over there and the S&P 500 index has now fallen below the important 1900 level in futures trading earlier this morning.  The Dow Jones 30 has also broken through a significant support level at 16340 which goes back to April and stands at 16280 at the moment as I am writing this.  To add to political woes, Hamas broke the ceasefire a few hours in Israel/Gaza so traders will be watching developments over there as well – it’s probably not a good idea to be holding any positions over the weekend !  As you would expect, with all these concerns centred around the Middle East, there are worries over oil supplies, the WTI Crude price rose 74 cents on the day, ending at $97.62.

Over here in Europe, the ECB President, Mario Draghi hinted at continued support for the Euro during this period of economic instability – he is clearly differing from the Fed’s stance of reducing money printing by the end of the year – and this news helped the Euro fall further against the U.S. Dollar, the value is getting very close the low of 1.3300 of November 2013 which may act as a support this time around.

Market Close Thursday 7th Aug. 2014:  Dow Jones 30  -75.07 @ 16,368.27  S&P 500  -10.67 @ 1,909.57  FTSE 100  -38.79 @ 6,597.37  DAX 30  -91.07 @ 9,038.97  CAC 40  -57.31 @ 4,149.83

10:45am  ~  It’s been a quiet morning on my charts so far although the Germa Dax 30 looks as though it maybe reversing so I’ll wait for a UTB confirmation.

11:30am  ~  The Dax price has retraced downwards and looks now as though it is setting up a UTB pattern so I maybe in a ‘long’ position in a minute.

11:40am  ~  I am now in a ‘long’ position on the Dax 30 index with a 47 pip stop loss.

14:05pm  ~  We are off out for lunch now so I closed off my Dax position a few minutes ago – it has ended with a +81 pip profit.

23:20pm  ~  No trading for me this evening, we’ve been out and only just returned home.

Daily Target  +20 pips

Pips Achieved  +81 pips