09:45am   Slightly later start to my trading day as I have had some broadband problems earlier with both my main and back-up internet supply — all seems ok now though.

No trading or Market Update tomorrow (Thursday) I’m in London all day.

Market Update:

Markets in Europe and the U.S have started December quite bullish with the encouraging Construction Spending numbers in the United States released yesterday afternoon giving a boost to the S&P500 and Dow Jones 30 indices. There was less than welcome ISM Manufacturing figures which came in under 50 but this did not seem to dent traders bullish sentiment. As a result, Europe has largely opened positively this morning with the London FTSE100 closing in quickly on its near-term resistance at 6450. Trading volumes are expected to slow tomorrow though as traders get in position for Friday’s U.S. employment numbers although markets could be volatile tonight as we will be hearing from Fed chairman Janet Yellen at U.S. lunchtime and she will no doubt give some hints and comment regarding this month’s rate decision.

As it is Wednesday once more, we have the Crude Oil stock situation in the United States and expectations are for a fall in stocks by around 600,00 barrels.  Oil traders from all around the world watch this announcement carefully and large movements on all crude oil charts usually occur late afternoon (UK time)

Trading Diary:

11:05am   There is a possible UTB pattern setting up on my S&P500 chart.

11:30am   I am now in a ‘short’ UTB position on my S&P500 chart with a 30 pip stop loss.

12:25pm   Now in a ‘short’ trendFX position as well, this time on my German Dax-30 chart. The stop loss is 22 pips.

13:20pm   The U.S. trading session is just about to get underway and as both my trades are doing reasonably well  (but not hit their targets yet)  I have brought my stop losses up to break even in case the volatility causes a rapid retrace.  I shall keep an eye on my charts now until things settle down.

14:05pm   Markets are becoming increasingly volatile and quick moving and I also want to pop out for a quick bit of lunch so I have closed off both trades within the last 15 minutes.  More details when I return.

15:20pm   Back home now and here are the results of the two trades I took this morning. The S&P500 UTB ‘short’ position with a 30 pip stop loss came in at +37 pips and my Dax-30 ‘short’ managed +40 pips.

16:00pm   Out now for a couple of hours so no more trading for the day.