Articles

In last weeks Trading Tutors article I introduced the currency debate as a way of profiting in uncertain markets. Finishing the analysis on the Australian dollar last week I noted an area in price that may prove to be a pivotal point, the 71.61 price pressure point was going to be either support or resistance.

What makes directional option trading strategies a challenging art is not only the fact that the direction of a market’s trend has to be established correctly, the best option or combination of options needs to be found based on expiry date and strike price.

Great employment numbers in the United States but the Dow managed another decent sell off - all over 25 miserly interested rate points even though it is an increase which has been on the cards for some months. Well that is the analyst’s proffered reasons but the Dow is simply uneasy at these lofty heights and it appears nothing will make it happy until a real pullback happens.

Over the past week I have been doing some analysis on the various sectors of the ASX200. Sector Analysis can prove to be extremely valuable for a number of reasons. Sector Analysis breaks the overall market down into smaller, related groups, allowing you to look at what industries are leading the main trend of the ASX200.

Recent times in both the index markets and normal shares trading have proven to be “interesting”. A slight air of uncertainty is creeping in especially when one looks at the financial press. The different political agendas in a number of the world’s major countries coupled with the ongoing tensions in the known hotspots, have only added to this overall feel.