The Dow formed another inside day, with sellers struggling to
move the market. The average closed at 8398 on higher volume. The
primary trend will reverse (up) if the index rises above
The Nasdaq Composite Index gained 0.9%% to close at 1361. The
primary trend will reverse (up) if the index breaks above
The S&P 500 closed unchanged at 882. The primary trend will
reversal if it rises above 965.
The Chartcraft NYSE Bullish % Indicator
at 40% (November 12).
Iraq agrees to the return of UN weapons inspectors but the US
and Britain are skeptical. (more)
New York: Spot gold dropped sharply on the news from the UN and
is down 510 cents at $US 318.80.
The All Ordinaries eased to close 11 points down at 2943 on
lower volume. Sellers are in control. The primary trend will
reverse if the index rises above 3150.
The MACD (26,12,9) and Slow Stochastic (20,3,3) are below their
signal lines, while Twiggs money flow has given a bearish
signal [-], reversing below zero.
Last covered on
Several gold stocks have formed bearish patterns on the weekly
AOR has formed a descending triangle. The upward break in the
last two weeks appears to be a false break: Twiggs money flow
signals distribution and displays a bearish peak below the zero
line. Relative strength (price ratio: xao) is falling and MACD
After a bearish MACD divergence, Lihir Gold Limited [LHG]
completed a false break at [fb] followed by a double top
reversal at [t-]. The stock has since formed equal lows in
July and October - not a strong signal in a down-trend.
Relative strength (price ratio: xao) is falling and Twiggs
money flow shows a bearish divergence. A fall below 1.06 will
confirm the continuation of the down-trend, while a rise
above 1.37 would be bullish.
Newcrest Mining [NCM] has also formed a descending triangle.
Relative strength (price ratio:xao) is falling and MACD is
Twiggs money flow signals a bearish divergence at [d-]. In
the short-term, equal highs have formed at  and 
followed by a breakout at  completing a small ascending
triangle. The target is 6.82 (6.26 + 6.26 - 5.70), below the
upper border of the larger descending triangle. This sort of
trade should only be attempted by the most intrepid
short-term traders as the long-term pattern is bearish.
A fall below 5.50 will be a strong bear signal.
Short-term: Short if there is a break below support at 2909:
The Slow Stochastic and MACD are below their respective
Medium-term: Avoid new entries. Use stop losses to protect
yourself against a sudden reversal.
I know millions of things that won't
I've certainly learned a lot.
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