Well only two full days left until the big day is upon us. Are you all set? I think I am just about. It’s a good job because I’ll be working until the end of the 24th anyway. I suspect the 24th will be a slow day at work. Hopefully it will prepare me nicely for the following week off, Woo Hoo!


On to todays trading action. I made a new trade today and placed an order for another. The new trade is in Barratt Developments. Strictly speaking it’s not a super trend cross buy. The cross happened a couple of weeks ago but the price has dipped back from it’s recent high and with a potential support zone around 85 I decided to take a bit of a punt. I say punt because it’s a mixture of entry signals that have caused me to take the trade. I’ll be trailing the stop according to the super trend value and we’ll see how it progresses. I have a stop set at 78 and entered at 87.77 so a £9.77 risk.


The order that I placed is for Regus. Buy at 84 stop set at 74. I struggled with myself earlier over this trade. The current price was 85.6 which would put my risk at 11.6 or 1.16% of trading funds. I know this is not going to break the bank but I decided to stick to my guns and keep my 1% max risk rule. I did think about bending this rule slightly as a I like the look of the trade, but if I bend the rule now where does it stop. I know the new trade in Barratt is bending the rules but I think the 1% of total funds is not a rule that should be bent. I’ve done it in the past risking 2%, 3% even up to 5% and all it’s done is lost me money and more quickly to boot. I think playing slightly with new entry criteria is ok in moderation, but altering my risk tolerance is a big no no, for me at least. I’m going to give the Regus order until the end of tomorrow to execute. If it hasn’t by then I’ll cancel the order and look for other opportunities.


A quick comment on the FTSE. It’s getting close to the 6000 mark. What will it do? Will it touch 6000 before dropping, will it power through or will it stay at it’s current level? I think the odds of it passing 6000 before the end of the year are pretty good, that said this is the stock market we’re talking about. Something could happen tomorrow that could send it plummeting. I guess the good news is we’ll all find out soon enough.


Oh and you may have noticed I’ve made some slight changes to the forum. I’ve added a new category called Technical Analysis & Charts. In there I’ve added a new topic about the ProRealTrend Detection feature. Hopefully you may be able to help me with finding out more about it.


I’ve also added a new section which relates to the website. This will enable you to do two things. Either report mistakes on the site that you have spotted or ask me for new features to the website. This would be where you can as me for things like new ProScreeners etc. This way it gives me a to do list of items that need adding to the site. I want this site to become a valuable resource for all spread betters regardless of experience. If you think of anything you wish you had when you first started spread betting let me know. Similarly if there is anything that you think would be useful for your own spread betting now let me know. I can’t make any promises on time scales for any of these things, or even if I’ll be able to do them, but I can promise you I’ll give it my best shot.


Until next time,
“May the markets be with you!”
Spread betting beginner

December 22, 2010 by Harry
Category: blog
Tags: Barratt Developments, Charts, FTSE, ProRealTrend Detection, Regus, Technical Analysis