Update on SHORT Swing Position

Position in profit + 22 pts and expecting to find support between : 1109 and 1113


Friday Sept 24 UPDATE :

SHORT position liquidated at 1124.50 during Globex Session. Globex price action always gives clues . Now Out anf FLAT on my Swing Account.

Financial Press Overview:


US market weakness these days is often explained by some kind of trouble emerging from Europe. Case in point, today the press reported that early US equity weakness was precipitated by a lower reading on business activity in the countries that use the euro, as well as the fact that Ireland's economy contracted some 1.2% in Q2. The fact that US applications for unemployment benefits rose unexpectedly last week also contributed to a stalling of the recent September rally.

To put things into perspective, stocks have seen a huge rally in September that has thus far boosted the Dow some 6.5% this month, although overall the benchmark is only up 2.2% for the year. The Dow has closed higher on 13 of the past 16 sessions and has just now broken its winning streak. Some market commentators are however turning bearish, suggesting that the rally might be over and that economic data cannot support it from a fundamental perspective.


According to the Labor Department, first-time unemployment claims rose last week, up by 12,000. Specifically, initial jobless claims for the week ending September 18 came in at 465,000 (consensus estimate: 450,000 claims).


In other economic data, home sales improved after having recently slipped to 15-year lows. In August, existing home sales rose 7.6% month-over-month, coming in at an annualized 4.13 million units (consensus estimate: 4.1 million units). Furthermore, leading indicators for August (an index of future economic activity) rose more than expected. In spite of expectations for an increase of 0.1%, leading indicators came in up 0.3%.

Both silver and gold continued their meteoric rise to new highs. The continuous silver contract almost hit a 30-year high (around $21 per ounce) while gold traded near its all-time high (around $1296 per ounce).