Another exciting week with the FTSE 100 index, at its low, a mere 16 points above the 150 day moving average at 5519. I had my automatic stop loss tight against the trend line and was surprised, when I checked at the end of each day, that my holding in XUKX was still intact! I have removed the emotion from my selling decisions by using automated stop losses. This is to counter the well documented psychological problems investors encounter when making decisions. I no longer have these problems because I update my selling position every weekend using the automated stop loss facility that my online broker provides.

Anyway, the sale wasn't triggered so I am still long the FTSE 100. Just as well as the index jumped as better news came from Europe regarding the bail-out packages for Ireland and the potential future funding requirements of Portugal and Spain. The index actually ended up on the week! What next, perhaps another attempt to break the 5900 ceiling? Who knows - and don't listen to anyone that says that they do. The important thing is to ride the trend whichever way it is going.

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