02th Week of August Downtrend beginning

Monday

• Downtrend from friday continued in the morning, so a valid trading method is to simply trade the trend till it stops and since there are not so much news on monday this method can be used almost every monday.
  
• What i learned is to ignore short setups if the trend already has stopped, when the US cash market opens shorting is most profitable if the prices are near the high of yesterday, gap downs will often be faded so better countertrade long
  

Tuesday

• 4 am UK market opened and priced dropped, I learned always pay attention to the 200 ema, as prices could not get above again it was quite obviousy to see a downtrend after the 8.30 am news.
  

Wednesday

• Reversal Day, most traders enter the uptrend when the prices crossed above the 200 ema and found support.
  

Thursday

• The rally in the morning was quite clear, I definatly learned to turn off automated trading system if the target of a rally is obvious (double top), no need to trade counter trend signals if the trend is still on. Anyway its always important to watch news events and dont rely on prices will continue to trend after the event.
  

Friday

• To dont spent so much time in front of the computer its wise on important news days to only trade the opening hour (3 am) and then after the news release. But remember two ways to trade news:
  
• a) prices are near the high of prior day, then prices are likly to go down as gap fills will happen on 9.30 am or
• b) prices are near the close of prior day, then you have to wait till a trend starts which hopefully like today accellerates so fast that its unstopable :-)