Trading Diary
April 11, 2002

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




USA
The Dow has been spooked by disappointing results from GE, IBM and Yahoo, closing down 2% today at 10176 on very high volume.
The Nasdaq Composite index is close to its 1700 support level from February, closing down more than 2% at 1725.
The S&P 500 dropped 2.4% to close at 1103, still above its 1070 support level.

General malaise
General Electric reported a first quarter drop in net income - the first time in 7 years. (more)
 
ASX Australia
The All Ords closed down at 3320 on normal volume. The MACD is still below its signal line - note the bearish divergence over the last 4 months.



BHP/MIM [BHP] [MIM]
BHP and MIM's control of the Queensland coal industry is threatened by an alliance between Anglo American and Japanese trading house Mitsui.(more)





Conclusion

Short-term: Continue to avoid long.
Medium-term: Wait for a new high on the All Ords.
Long-term: Wait for the Nasdaq or S&P 500 to break above their January highs.


Colin Twiggs


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