Trading Diary
December 11, 2001
This is my daily stock trading diary.
It is 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
Another small loss, with the Dow closing at 9888 on strong
volume, encountering
resistance at the 10000 level.
The Nasdaq closed slightly up, at 1661, while forming an
inside day which signals market
uncertainty.
Fed cuts rates to lowest in 40 years
Merck spoils the party
Stocks of the drug maker Merck, a Dow stalwart, fell almost
10% on the announcement that it will not meet earnings
forecasts. (more)
Australia - ASX
The All Ords closed at the 3300 support level
on reasonable volume, as buyers continue to resist
selling pressure.
Suncorp reaps merger benefits [SUN]
Suncorp-Metway doubles estimates of annual savings from the
merger of its general insurance division with GIO, to $240
million. (more)
Conclusion
Short-term: Wait for uncertainty on the Dow to clear. Tighten
up
stop losses on existing positions.
Long-term trades: Wait for a correction on the
secondary cycle.
Colin Twiggs
Please forward this to your friends and colleagues.
To be included on our mailing list, reply to
this Email adding MAIL ME to the subject title. All
details submitted are protected by our
Privacy Policy.
Back Issues
Back Issues
Access the Trading Diary Archives.
Author: Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He co-founded Incredible Charts and writes the popular Trading Diary and Patient Investor newsletters.
Using a top-down approach, Colin identifies key macro trends in the global economy before evaluating selected opportunities using a combination of fundamental and technical analysis.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
He founded PVT Capital (AFSL No. 546090) in May 2023, which offers investment strategy and advice to wholesale clients.