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ETOs and Warrants
ETOs and warrants are now available.
The data feed has given us a few problems so this section will remain as beta until we are satisfied that all the bugs have been ironed out.
 
US stocks will follow.




Trading Diary
October 14, 2003

These extracts from my daily trading diary are for educational purposes and should not be interpreted as investment advice. Full terms and conditions can be found at Terms of Use .




USA
The Dow Industrial Average rallied 0.5% to close at 9813 on low volume.
The intermediate trend is up.
The primary trend is up. A fall below 9000 would signal reversal.



The Nasdaq Composite closed up 9 points at 1943 on higher volume.
The intermediate trend is up.
The primary trend is up.


 


The S&P 500 rose 4 points to close at 1049 on higher volume.
The intermediate trend is up.
The primary trend is up.



The Chartcraft NYSE Bullish % Indicator jumped to 81.38% (October 14).

Market Strategy
Short-term: Bullish if the S&P500 is above 1040.
Intermediate: Bullish above 1040.
Long-term: Bullish above 990.


Intel
The chip maker beat third-quarter earnings estimates, reporting earnings of 25 cents a share and sales up 20% from last year. (more)

Treasury yields
The yield on 10-year treasury notes gapped up to 4.35%. 
The intermediate trend has turned up.
The primary trend is up.




Gold
New York (22:09): Spot gold is up at $374.80.
The intermediate trend is down.
The primary trend is up, with support at 343 to 350.


ASX Australia
The All Ordinaries rallied strongly in early trading before selling pressure forced a weak close on strong volume: 9 points up at 3292.



The intermediate trend is up.
The primary trend is up. The rally is extended after 3 secondary corrections back to the trendline; the probability of a reversal increases with each consecutive (secondary) rally.  

MACD (26,12,9) is above its signal line; Slow Stochastic (20,3,3) has crossed to below; Twiggs Money Flow (100) is above its signal line but still displays a bearish divergence.

Market Strategy
Short-term: Bullish if the All Ords is above 3307.
Intermediate: Bullish above 3250.
Long-term: Bullish above 3160. Tighten stops (to intermediate level) when the secondary rally ends.

Novogen [NRT] 
Last covered January 28, 2003.
NRT formed a broad double bottom in 2001/02 with a target of 6.00 (3.50 + (3.50 - 1.00)). The target has now been reached after breaking through resistance at 5.00 from an earlier high.
Relative Strength (price ratio: xao) is rising strongly.

With each consecutive secondary correction, the likelihood of a primary reversal increases. Traders should take this into account: now would not be a good time to enter long-term trades.



Twiggs Money Flow signals strong accumulation, with a trough above the zero line.



Selling pressure is now evident on the equivolume chart, with a weak close at [4] on strong volume. 
Earlier we can see ideal entry points at [1] and [2]: pull-backs of short duration, with low volatility and volume, respecting a major support level. Entry is taken with a buy-stop above the high. 
These are short-term pull-backs and we should still expect a larger correction to test the support level in the intermediate term.

The bar at [3] would also have made a good entry point: price moved lower to test support but then rallied on strong volume to close at the day's high. If there is strong volume on a downward bar that respects the support level, then the close must signal a reversal. Volatility can be either high or low. 



Novus Petroleum [NVS]
Last covered July 21, 2003.
Novus broke out of a broad base before retreating back below support at 1.30, the high of [1]. Price has since respected a secondary support level at the high of [2] before rallying. The latest pull-back at [3] is bullish, again respecting the 1.30 level.
Twiggs Money Flow (100) formed a trough above zero, signaling strong accumulation. 



Relative Strength (price ratio: xao) is rising; another healthy sign.



Zimbabwe Platinum [ZIM]
ZIM has consolidated after a healthy up-trend. Relative Strength (price ratio: xao) is falling and threatens to start a down-trend.
A close below 3.75 will be bearish; a rise above 4.74 bullish.



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The weekly Trading Diary offers fundamental analysis of the
economy and technical analysis of major market indices,
gold, crude oil and forex.
The monthly What's New newsletter covers new articles
on Trading and the Economy, as well as new software updates.



Understanding the Trading Diary has been expanded to offer further assistance to readers, including directions on how to search the archives.

Colin Twiggs


The bigger the base, the bigger the move.

The bigger the top, the bigger the drop


~ Old market maxims.




ETOs & Warrants
ETOs and warrants are in a separate folder on the Securities menu:
select Securities >> ASX ETOS & WARRANTS to browse through the menu.

At this stage, information is limited to Open, High, Low, Close and Volume. We will add further fields as they become available from our data supplier.



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