Trade view /
09 June 2016 at 11:19 GMT
On Tuesday the FTSE Futures (June '16) got up to 6,315 on an early spike, then spent the rest of the day giving it all back. We closed back where we opened, some 50 ticks off the morning high.
This left us with a "gravestone Doji" on the daily candlestick chart, which can be a very powerful reversal pattern. But we didnt see any follow-through to confirm this as a top yesterday, although early trade today has seen weakness that hints that we may be gearing up for something from the bears.
Today's low is 6,236. We shall sell a break of this level if US trade kicks into life and attracts further selling.
Management and risk description
Once we're 50 ticks on side move the stop to entry. Cover/cut losses on a close back above 6250.
We need it to be a closing
sell a break below 6,236 (June '15 Futures).
50 ticks initially.
6,180 then 6,120, maybe even 60,30.
one to two weeks.Daily candlestick showing the gravestone Doji
Weekly bar chart:
— Edited by Michael McKenna
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