THANKSGIVING in the US means that the American markets are closed and traders are expecting a quiet day ahead. But that doesn’t mean spread betters should be ignoring the markets. There is plenty of scope for traders to start pulling money off the table to minimise risk.

Nonetheless, the Dow index has had a huge run of late, adding around 8 per cent over the month so far and leaving stocks looking toppy. The Fed has already warned that asset prices are becoming inflated in light of low yields. Risks continue to build on the downside and at some point a correction must be on the cards. The current IG Index price for the Wall Street daily contract is 10,445-10,449.

Traders might also use the US holiday to look at other markets. Unlike the FTSE and the Dow, the German Dax 30 has yet to mark a fresh 2009 high. The index may be forming a double top around the 5,800 area indicating a correction is on the cards and the opportunity to go short. Capital Spreads is quoting 5,790-5,791.