The Best Way To Trade A Ranging Index (FTSE100)

2024年10月21日

Many Indices will range from time to time, often as the direction for that particular economic zone becomes less clear.

That is typical for the FTSE, and at the moment worries around the highly anticipated UK budget are keeping it stalled.

This range has been repeated for a long period of time and gives you a gauge of the acceptable value of the Index right now amongst the vast amount of traders/investors alike.

It must be understood that an eventual break is likely, either up on risk on, or down on risk off (either globally, or specific to the FTSE and it's investor confidence levels).

For me, I like to look short nearer highs, long nearer lows. The longer this goes on, the lower the risk level must be as an inevitable break will come.

This is better as oppose to trying to 'guess' where investment will go in, or out of the FTSE. This strategy similarly can be applied to any other index when it stalls or indeed when it is in clear up/downtrend.

2024年10月21日

註釋

Exit shorts, trade in stages on fall.

2024年10月22日

註釋

Lock in gains on shorts, longs sitting lower.

2024年10月31日

註釋

Straight to target. Kill all shorts.