This has now broken out but stil needs to close above the downtrend. For those interested IMHO the best entry would be on a backtest of that trendline at 1179 today (falling daily). Here's the chart:



dl.dropbox.com/u/20815047/XTAdaily15_01_13.gif

Ideally, stops would be below 1128.

Hi n-j-at. I've no idea mate but we don't need to know in advance we can wait to see what happens and then trade that. So, if it breaks out (FTSE closed above 6106) then we can trade any backtest long. If it retreats we can trade short with a stop above the downtrend.

Actually, the "correct" thing would have been to open the short already and if it breaks out just reverse the trade I suppose.

I have not taken any position, just posted it for interest as I know where this website all started from

jack do you think it will break through this downtrend resistance or you reckon it will remain range bound within the downtrend lines.

This finished bang on the main downtrend resistance today. Here's the close up view:



dl.dropbox.com/u/20815047/XTAdaily11_01_13.gif

And the view from far away to show the importance of this downtrend line:



dl.dropbox.com/u/20815047/XTAdaily11_01_13a.gif

This is in T/O talks if I recall correctly so be careful.