June 20, 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 .
The Dow fell 1.4% to 9431 on strong
The index has again broken the 9500 support level. Primary and
secondary cycles trend downwards.
The Dow Transport Average is already in a bear-trend, making this
Chartcraft's NYSE Bullish % Indicator has given a bull
correction signal, warning investors to adopt defensive
The Nasdaq Composite dropped more than 2% to
close at 1464.
The primary cycle and secondary cycle are in a
The S&P 500 lost 13 points to close at
Primary and secondary cycles trend downwards.
Buyers are scarce as Dow
stalwarts, including IBM and General Motors, are sold down.
on Friday will add further volatility. (more)
The All Ordinaries rallied strongly, after a
sharp decline in the morning, to close unchanged at 3231.
Chaikin Money Flow made a strong recovery,
because of the strong close and large volume.
RBA credit card reforms may reduce the
profitability of card operations by 20%, but only
marginally affect overall profits of the big four.
Financials excluding Property Trusts
(XXJ), the new ASX 200 index, reflects positive Relative
Strength (price ratio: xjo) and Chaikin Money Flow. MACD
signals a bearish divergence.
AOR increases its estimates of gold
reserves by 25%. (more)
Detrended Price Oscillator and Chaikin
Money Flow give positive signals.
The primary bull-trend continues.
Short-term: The Detrended Price Oscillator is positive
but Chaikin MF continues downward.
Short-term: No short trades until completion
of MACD/Slow Stochastic signal - selected sectors only.
Medium-term: Wait for the All Ords to signal a
Long-term: Wait for a bull-trend on the Nasdaq
or S&P 500 (primary cycle).
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