Wednesday, August 11, 2010

Swing Shorts

Nice breakouts to the downside for the following short setups. I've been banking some good trades getting a good downswing on the AUD last night, and I'll do a review of 400 trades to date as soon as I complete a few more.

Last night's fed announcement came in with some pessimistic comments for the economy, whilst keeping the market confused with smallish quantitative easing measures. i.e expect the market to stay in limbo for a few sessions.

China real estate figures were coming off yesterday too, and NAB coming in with soft results and CBA expecting pessimism will also prove to be pre-leading of downside action for the next few sessions.

Trade 388 FMG short @ 4.50

Market is down, looking to swing trade next few bearish sessions - 4300 looks like the next stop.

technically 4.64 is the stop loss area, as long as we stay below a short is a good trade.

Looking to play at least down to the bottom of the rising wedge 4.20 or below.


Trade 389 BHP short @ 40.34

Timed the entry to the market open price, there seems to be heavy selling pressure to the downside, which is foreboding possible weakness in the coming sessions.

Getting a good intraday price can add up to many basis points in the long run, so I stayed patient on my entries.

The key technical play here is price unable to stay above 40.64 and selling yesterday occuring on heavy volume indicates good follow through potential.

Stops above 41.00, with a target to 38.00 or below.

Trade 390 QAN short 2.57

Simple technicals, reversal formation around the candles, with high volume indicating follow through to at least 2.35 target.

Stops 2.64 range.