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The folllowing summary is sent to Live Room subscribers, together with the relevant explanation charts.

Afternoon Call – 31st October 2008

- Another productive day in the Live Room today.
- We had 3 Live Calls, all 3 trades making very good profits.
- Our early morning bias towards dollar strength worked out very nicely.
- We had trading opportunities in the Yen crosses just before the Live Room opened.

GBP/USD - Short Call

- Live Room Call: Entry on the break of 1.6213
- Trade: Break of immediate support level on the 15min chart
- 21CCI: Bearish momentum
- Maximum move: 1.6115, (98 pips)
- 1st Level 1.6145, +68 (1/2 position)
- 2nd Level 1.6148, +65 (1/2 position)
- Trade was closed after the pair bounced of the 2nd support level.
- (Allow for few pips slippage on entry/exit levels)

USD/CHF - Long Call

- Live Room Call: Entry on the break of 1.1480
- Trade: Break of immediate resistance level on the 15min chart
- 21CCI: Bullish momentum
- Maximum move: 1.1542, (+62 pips)
- 1st Level 1.1535, +55 (full position)
- Trade was closed after the pair moved lower of the 2nd resistance level.
- (Allow for few pips slippage on entry/exit levels)

USD/CAD - Long Call

- Live Room Call: Entry on the break of 1.2190
- Trade: Breakout of pennant on the 15min chart
- (Alternative entry was the break of 1.2247 resistance level)
- 21CCI: Showing signs of a bullish bias
- Maximum move: 1.2378, (188 pips)
- 1st Level 1.2235, +45 (1/2 position)
- 2nd Level 1.2280, +90 (1/4 position)
- 3rd Level 1.2270, +80 (1/4 position)
- (Allow for few pips slippage on entry/exit levels)

UPDATE - US Session

USD/CHF

- Keep a close eye on the break of the 1.1541 resistance level and the trendline break.
- Possible move towards 1.1657
- Be careful with the news coming out in the US and that it is Friday.

EUR/JPY

- Look for the break of the trendline.
- We have had a strong reversal from the morning lows.
- 200MA is just above the trendline.
- Be careful with the news coming out in the US and that it is Friday.

USD/JPY

- Look for the breakout of the range.
- 99.09 on the upside and 96.41 below.
- Be careful with the news coming out in the US and that it is Friday.

EUR/USD

- Keep an eye on the 15min trendline.
- Overall pressure seems to be on the bearish side but we may get a reaction up.
- Be careful with the news coming out in the US and that it is Friday.

Another excellent morning in the Live Room.  Decent Profits made again.

27th October 2008 – Afternoon Call (12:30pm UK)

- Another fantastic day in the Live trading room today.
- We had 4 Live Calls, 2 closed at breakeven and 2 making great profits.
- In the morning we mentioned a bias towards dollar strength.
- European session followed on from the Asian session with this projected bias.
- This gave us some great trading opportunities as the pairs broke key levels.

- The Yen has risen around 14% against the US Dollar and 30% against the Euro.
- Reports suggest that the Government and Central Bank are ready to sell the Yen.
- Any such move can be seen as a possible reversal in the Yen crosses.

GBP/USD – Short Call

- Live Room Call - Entry on the break of 1.5604
- This was a break of the low made during the morning Asian session.
- 21 CCI confirmation of downward momentum.
- After the break of 1.5604 the pair made a low of 1.5273. (331pips)
- We scaled out of the overall position as the market started to move down.
- 1st Level 1.5520, +84 pips, 2nd Level 1.5399, +205, 3rd level 1.5410, +194.
- At each level, as partial profits were taken, we moved stops accordingly.

GBP/JPY – Short Call

- Live Room Call - Entry on the break of 145.00
- This was a break of the low made during the morning Asian session.
- 21 CCI confirmation of downward momentum.
- After the break of 145.00 the pair made a low of 140.58. (442 pips)
- We scaled out of the overall position as the market started to move down.
- 1st Level 143.93, +107 pips, 2nd Level 143.00, +200, 3rd level 142.25, +275.
- At each level, as partial profits were taken, we moved stops accordingly.

Accompanying Charts sent to Subscribers.

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The FTSE closed down 24.6 points today at 5,990.2, which was up about 48 points from the day’s low.  the FTSE 250 closed down 135.8 points at 10,108.7.

Over the pond, by the time London closed the DJI was down about 13 points at 12,599, whilst the S&P500 was down about 3 points at 1,369, and the Nasdaq down around 7 points at 2,358.  Miner Alcoa and Techie pc chip maker AMD (Advanced Micro Devices) gave 1st quarter results and statement that were not very positive.  US home sales were also down 21% on this time last year, which also didn’t help.

Back here in London, news that house prices were 2.5% lower for march saw the banks and housebuilders get some pressure.  We expect an interest rate cut next time out. The biggest house price monthly fall in 15 years was accompanied by news that the number of mortgages completed in the UK in February was at a record low.  It seems first time buyers aren’t joining the ladder.

The reaction to all this was housebuilder Persimmon closed down 19p on the day at 687p, barratts down 17.5p at 377p, Bovis down 21p at 563.5, and Bellway down 23p at 817.5.

Banks joined the train south with Barclays down over 8p at just shy of 478p, HBOS down 10.5p at 549.5p, and Lloyds TSB down 4.5p at 467. A couple bucked the trend, though, with Alliance & Leicester closing up 6p at 531.5, and Bradford & Bingley closing up 2p at just shy of 190p.  Aliance & Leicester seems to have been heavily sold this year, and now coming off the floor.

The miners did ok today, though, with BHP closing up up 77p at 1,762 n rumours that the Chinese want to raise their stake in BHP.  Rio closed up 61p at 5,901, and Xstrata up 87p at 3,954.

With oil at US$109 bbl the oilers did ok too, RD Shell up 14p at 1,837, and BP up 1.5p at 537.  Tomorrow’s we hear the U.S. fuel stocks figures too, so watch for them.

Sage, the accounting software firm, had the worst day, though, closing down 11.4p at 196.6p as investors felt the tech market could be in for a hard time.

British Airways was down another 9p at 231.5p after the costs of the £4.3 bln Heathrow Terminal 5 debacle were weighed up as well as the cost of the black stuff.  BA spends £2 bln a year on fuel, so a 10% rise in fuel costs could make all the difference to the bottom line.

Our London Stock Exchange (LSE:LSE) closed down 62p at 1,321 as bid hopes were falling off.

Fund manager Schroders shed 27 pence to 1,049, and insurer Standard life dropped 7 pence at 265.

Suger and sweetner firm Tate & Lyle closed down 11.5p at 513.5 after a Credit Suisse downgrade to ‘neutral’ from ‘outperform’ as the bank said it was fully valued, if not overvalued.