Articles

Uncertainty in the markets seems to be commonplace these days. Investors are not only looking to grow and get a good return on what they have, but they are also anxious to protect it as well.

In Issue #4 28 April I spoke about the likelihood of retracement of the Australian stock market and since then the market has been in steady decline.

BHP is very much a favourite of mine – I had 10 wonderful years with the company, mainly in international trading.

The news of the restructure and capital raising efforts by AMP has led to one of the most dramatic stock stories for the Australian Market for some time, perhaps since the Ansett, One Tel and HIH days.

In this week’s article I want to cover the concept of retracement trades. Looking at the XAO we can see that over the last 12 months there has seen a significant downward movement.