Oct dates - sent to subscribers - October 27th, 2002

Chart of the spi (this is the futures contract derived from the All Ordinaries index) attached to illustrate the coming together of time and price, and how this helps the trading. (Chart not attached here.)

10/10 low 2889,23/8 top 3200, mid point 3044, (well 3044.5 to be pedantic) high on 24/10 3045. (I can tell you, if the spi traded to decimal places, the high would have been 3044.5) That makes the market neutral, and decidedly unhelpful; if we had been higher, indicates strength, if we had not got to 3044.5, weakness.

Where to now? The trend is down. However, should the high of 24/10 be exceeded in the next week, it means a change in trend of the market to the upside, the Oct 10 low stands a better chance of being the low for the year, and a further move to the mid point of 2889 and 3422 (being 3155) would be likely, possibly on the next degree date, or one after.

Oct 24th, one year anniversary of the 45th day from Sept 11, and one of our AL Q dates, also 90 degrees from the big July 24 US emotional bounce:
- Dust storm in Australia (you could see it from here !!)
- Moscow hostage drama with Chechen separatists. I note in passing a report in the Wall Street Journal a month or so ago highlighting that AL Q originally chose Chechnya as their base of operation, but shifted to Afghanistan for some (at this stage) unknown reasons. This 2nd war in Gechnya began Oct 1999.
- Capture of Washington sniper. (CNN, in a report being critical of the extensive coverage given to this item over the weeks, one of the reporters being interviewed (probably let slip in my view) that each time they covered the Bali bombing story, ratings slumped, but covering the sniper attack, ratings jumped. So CNN ditched coverage of the Bali events. Fortunately we have the BBC here, so I followed events okay.) So there you go.

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