This is where I get stuck with trading. (i know about the 3 contract rule, but i only do a £1 per point) (£3 per point is to much of a loss)

Traders advice please.

I entered at the breakout, sold at 16000 for profit.

Do I re-enter now? or wait for re-test? Am itching to get back in? Dont want to miss 600 odd points.

I could enter above 16030 for another breakout.

Help please.

After hitting 16000 and reversing. (Profit taken)

I presume the next trade is waiting for the re-test of the channel at 15860?

I don't know if it's just my charts, but they never look like yours Remo.

I use IG charts and because they use 24 hourm it seems to ruin trend lines etc. (I have asked if you can only have market hours but IG have yet to comment)

If you see my chart for hourly, I put a line on 22/10 & 7/11 highs, i then copied the line for lower and put on 15/10.

In your chart neither line has been breached, but in my chart, both trend line have been breached. More than once

dl.dropboxusercontent.com/u/21384991/Scr...%20at%2012.32.30.png

Here's a quick analysis of the Dow when it has taken out it's previous (all time) highs over the years...

on the chart you will see: est breakout targets based on previous range vs actual top price and the respective difference, hopefully the chart is self explanatory....

apart from what i have put on the chart, there are some other observations to be made with respect to the length of time it has taken the dow to get to it's previous highs and once it has, the results thereafter as an example....

dl.dropbox.com/u/40497882/dow_historical%20breakouts.JPG

just something to ponder

Dear Mr. President,



I am writing to withdraw my name for consideration to be Chairman of the Federal Reserve.



It has been a privilege to work with you since the beginning of your Administration as you led the nation through a severe recession into a sustained economic recovery built on policies to promote employment and strengthen the middle class.



This is a complex moment in our national life. I have reluctantly concluded that any possible confirmation process for me would be acrimonious and would not serve the interests of the Federal Reserve, the Administration, or ultimately, the interests of the nation’s ongoing economic recovery.



I look forward to continuing to support your efforts to strengthen our national economy by creating a broad based prosperity and to reform our financial system so that no President ever again faces what you and your economic team faced upon taking office in 2009.



Sincerely yours,



Lawrence Summers

It looks like all the indexes are gonna open up massively tomorrow.
Hopefully a nice bullish week ahead

I still think there's every chance the trade could work - 15340 is a key level, 315 is the 61 Fib and the trendline

PS My little one's managed to get ill again on his return to nursery after only 2 days so I'm back on full time childcare duties for the next week or two at least so I'll have to remain on the back seat for now. Thanks for all your hard work.

I'm assuming you cancelled that trade remo, given that it got there so close to end of day?

Dow is massively overbought but they still keep buying it. Crazy market!!

Makes sense to me remo - stops above 340 as that's a strong area too.

Does anyone know if the Dow has gapped up each day for the last 3 days including today? TIA

Folks,

This isn't a technical post, but it might have a bearing on technicals perhaps?

With Alcoa Out, Dow Gets a New Earnings Pacesetter

Alcoa is one of the ones heading out, and Visa and Nike (both terrific performers, especially when compared to Alcoa! are some of those coming in)

Not sure about about the adjustments and price weighing, but should be interesting!

(It proves by design, that these indicies are 'made' to rise over time, with the constant elimnation of the weak - the FTSE is another if you look at the stocks that comprised the UK index say, 10, 20 years ago).