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Trading Diary
February 5, 2002

These extracts from my daily stock trading diary are intended to illustrate the techniques used in short-term share trading and should not be interpreted as investment advice. Full terms and conditions can be found at Terms of Use .




USA
The Dow closed largely unchanged at 9685 on strong volume, while the Nasdaq 100 continued its downward trend, closing at 1462.
 
HP-Compaq merger
The battle intensifies ahead of the March 19th and 20th shareholders meetings. (more)
 
Gold near $300
Spurred by doubts over equities, gold futures have climbed to within a whisker of $300 per ounce.(more)
 
Australia - ASX
The All Ords closed down at 3393 on strong volume, an expected reaction after the Dow of the previous evening. The 20-Day Slow Stochastic is still below its signal line.
 

 
Normandy
Normandy Mining announced to shareholders that it would not be declaring a dividend, despite a 31% rise in profits. (more)
 
MACD/Slow Stochastic
A reader wrote to ask why I switch between the MACD and Slow Stochastic indicators "whenever it suits me". I combine the two indicators to determine the direction of the short-term trend. More details can be found at Trading the Short.
 




Conclusion
Short-term: Avoid new trades until the 20-Day Slow Stochastic crosses above its signal line.
 
Long-term: Wait for a correction on the secondary cycle.
 
 
Colin Twiggs
 
 
P.S. We are trying out new software. Please report if you experience any problems with the trading diary.
 
Please forward this to your friends and colleagues.



 
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