My trade continued... 27th July 2013

The price appears to be falling against a downwards sloping support line if not a price channel. If it is forming a channel hopefully it's not breaking out of it at the moment.

As the articles, systems & strategies on this website say, the edge on stock market indices comes from support & resistance / mean reversion. Basically, from speculators driving the market up and down as they aim to buy low and sell high.

Looking to exit this long trade as soon as the price moves back towards the downwards slopping support line...

Here's the chart -

New S&P500 CFD Trade - 2nd June 2013

Well as I suspected the market has broken the upward sloping support line and has not yet broken about it. Here is a five day chart of the S&P500 at last nights closing -

As you can see, the market has broken a the upward sloping support line and this support line is now acting as resistance. Now might be a good time for me to go short.

It is only just after 10am here in the UK and the US market won't be open for hours but CFDs on the S&P500 with UK brokers are available, here is the chart -

My Trade is short @ 1,616.98