Trading Diary
January 7, 2002
These extracts from my daily stock
trading diary are 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
The Dow closed down at 10197 on reasonable volume, but the
up-trend is intact.
The more volatile Nasdaq closed down 1.5% at 1649, also
still in an up-trend.
AOL reduces earnings expectations
Australia - ASX
The All Ords closed up at 3385 on reasonable
volume. The 20-Day
Slow Stochastic is in overbought territory, confirming that
this is not a good time to enter the market.
The bearish MACD
divergence has weakened further.
Conclusion
Short-term: Don't jump in yet. The outlook may look rosy, but
wait for the signal
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.