My pick: Sell the FTSE 100 at 5,740
Expertise: Technical analysis
Average time frame of trades: 5-10 days
We have done quite well trading the index over the past few weeks and have most recently booked profit on our short trade from 5,725 at 5,600 for 125 points. The overall structure still looks to be quite toppish, and as such, we will once again look to take advantage of any rallies early next week and sell in anticipation of a lower top and fresh downside extension below 5,530. Place a stop at 5,840 with an objective of 5,490.
My pick: Short the Dow below 10,900 and short the bund below 124.15
Expertise: Fundamental and technical analysis with risk management
Average time frame of trades: 1 day-1 week
Although concern over the health of the Eurozone has not catalysed the much overdue correction in risk appetite, I think speculative interests will collapse eventually. Therefore, there is little harm in positioning for Dow reversal in a break of the 10,900 with a 11,195 stop and a first target of 10,705. If Greek concerns do ease, the bund’s safe haven inflows could also reverse: go short below 124.15 with a 125 stop and an inital target of 123.40.
My pick: Short gold below $1,187.80
Expertise: Global macro, classic technical analysis
Average time frame of trades: 1 week – 6 months
Gold prices have put in a shooting star candlestick formation below resistance at the top of a rising channel set from the lows in early February, hinting that a bearish reversal may be ahead. Additional confirmation is required, however, and I will look for a bearish close below $1,174.26, the midpoint of the 4/30 daily candle, for today’s session before entering short. I will initially target the $1,130.00 level with a stop on a daily close above $1,187.80, the 5/1 wick high.