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Trading Day

S&P/ASX200 Index Summary

Thursday, 28th April 2011

Yesterday’s inflation figures weighed heavily on the market as it dropped almost 1%, but found support at the pre-Easter opening level (4870). Overnight, news from The Bernank that everything is fine, but its not, so we will continue to stimulate, rallied all risk markets (except silver), and the Aussie market has opened up on digestion of this news. The short term trend remains weak but positive on momentum, as it continues to reverts to the medium term trend (note red line on graph below). It’s pretty much green across the board going into lunch at 4900 points.

Chart 1. Daily candlestick with 15 day moving average (pink line) over 3 months.

ABOUT
The Prince is a full time trader with extensive experience in equities and derivatives trading and portfolio management.

DISCLAIMER
The content of this document should not be taken as investment advice or construed as a recommendation to buy or sell any security or financial instrument, or to participate in any particular trading or investment strategy. The views expressed are the opinion of the author only. The author may have a position in any of the securities mentioned. Any action that you take as a result of information or analysis is ultimately your responsibility. Consult someone who claims to have a qualification before making any investment decisions.

MacroBusiness Trading Day

The Prince

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Thursday, 28th April 2011 Daily Stock Scan How to read These watchlists are the results of end-of-week scans, using a medium term trading system to ascertain the strength, direction and momentum of trends. This intra-day report will pinpoint possible entries and exits based on a short term trading system. What does “position” mean? Bullish = looking to add/start long position Bearish = looking to add/start short position Hold = maintained current position Avoid = wait for direction/catalyst Go to the glossary at the end of the report for more information.

ASX100 Select
Name AGL Energy AMP Limited ANZ Banking BHP-Billiton Code AGK AMP ANZ BHP Pattern/Stance Medium term downtrend Saucer bottom, trend developing Sideways bullish Medium term uptrend, meeting resistance Position AVOID BULLISH AVOID HOLD Notes Up 0.5% on possible breakout - one to watch Down 1% hovering near support at $5.50 Up 0.9%, still meeting short term resistance Up 0.5%, finding support

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Thursday, 28th April 2011 ASX100 Select (continued)
Name Coca-Cola Amatil Cochlear Commonwealth Bank CSR David Jones Code CCL COH CBA CSR DJS Pattern/Stance Medium term uptrend Medium term uptrend Sideways bullish, meeting resistance Medium term downtrend Sideways bullish, trend developing Medium term downtrend, short term uptrend Medium term downtrend Position BULLISH BULLISH BULLISH BEARISH AVOID Notes Reversed yesterdays loss - still looks good Still hurting from AUD - change to sideways Breakout past resistance - up over 1.3% Spinning candle y’day, down 1% today “about to hit resistance/sell zone around $4.85-4.90” - yesterdays reversal has reverted DJS to sideways again Up over 1.5%, coming up to resistance at $1.38 Failed falling wedge pattern, but floating just below $2.80. Insto’s will continue to buy this so be wary. “Good time to take profits” - or not, up another 0.9% Up 0.5%, hitting resistance Monkeys keep picking away, but down 1% “if it can get past $17.20, upgrade to BULLISH” = fail, back to sideways Up 0.8% and continues breakout slightly overbought, BTFD? Up again, medium term trend now underway, expect a pullback More shenanigans - up 0.5% but super weak. “but this is looking overbought, expect a retracement” - yep - tighten stops ”building a possible breakout pattern here” up over 1% and firming. I like this. Up again to reverse yesterday, so net no gain still hitting resistance/sell zone at $34 Up slightly, but momentum is flat again. Tighten stops and wait. Building for a possible breakout - one to watch for entry signals Up almost 2% as the trend continues “stay the course” indeed

Fairfax Media Harvey Norman

FXJ HVN

AVOID BEARISH

National Aust. Bank Newcrest Mining Onesteel Ltd Origin Energy QBE Insurance Sonic Healthcare Suncorp Group Tabcorp Telstra Wesfarmers Westpac Bank Woodside WorleyParsons

NAB NCM OST ORG QBE SHL SUN TAH TLS WES WBC WPL WOR

Sideways bullish, trend developing Medium term uptrend Medium term downtrend Sideways bullish Saucer bottom, trend developing Sideways bullish, uptrend developing Medium term downtrend, hitting support Medium term uptrend, short term breakout Sideways bearish Sideways bullish, trend developing Saucer bottom, trend developing Sideways bullish, trend stalling Medium term uptrend

BULLISH BULLISH BEARISH AVOID BULLISH BULLISH AVOID/ COVER BULLISH AVOID BULLISH BULLISH HOLD BULLISH

MacroBusiness Trading Day

The Prince

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Thursday, 28th April 2011 ASX Small Ords
Name Aditya Birla Acrux Billabong Bandanna Energy Beach Energy Cabcharge Data#3 Ltd Envestra Energy Resources Flexigroup Graincorp Horizon Oil Kingsgate Consol. Lynas Corp Medusa Mining Monadelphous NRW Holdings Oceanagold Pharmaxis Regis Resources Seek Ltd Code ABY ACR BBG BND BPT CAB DTL ENV ERA FXL GNC HZN KCN LYC MML MND NWH OGC PXS RRL SEK Pattern/Stance Medium term uptrend, pausing Medium term uptrend Medium term downtrend, accelerating Medium term uptrend, accelerating Medium term uptrend, pausing Sideways bearish Medium term uptrend, meeting resistance Medium term uptrend, accelerating Medium term downtrend, finding support Medium term uptrend Medium term uptrend Sideways bullish, breakout Medium term downtrend, finding support Medium term uptrend, meeting resistance Medium term uptrend, accelerating Medium term uptrend complete, sideways Medium term uptrend Sideways bearish Sideways bullish, volatile - meeting resistance Medium term uptrend, accelerating Sideways bearish, possible breakout Position HOLD BULLISH BEARISH BULLISH BULLISH AVOID HOLD BULLISH COVER BULLISH BULLISH BULLISH AVOID HOLD BULLISH AVOID BULLISH BEARISH AVOID BULLISH AVOID Notes Up over 3% and heading to prior resistance level. Likely to pause again. Up slightly - tighten stop to $3.26 Down again - slightly oversold, so tighten stop to $7.10 Up 2% but lots of selling pushing the intraday price down. Tighten stop to $2.04 “reverting to trend” - no still pausing, wait for near the close to act Trying to breakout past $5.60 - watch near the close to act on a breakout. Still floating here at $14.60 - IT concerns for state governments cutbacks? “could be overbought” the pullback was good, price now up 1% - stay the course Another bottom? Another drop thereafter? Tighten stops to $6.40 or so. Still flat - tighten stop to $2.14 Up 0.6% - nice little trend keeps going “but weak” - yep going nowhere. Could be consolidation - tighten to 40c Looks like a bottom may be in - watch for close over $8 and the gold price Down almost 10% yesterday, up on the open as it respects medium term trend - BTFD Up 3%, breakout not confirmed, but still bullish and moving in a channel Down 1% - this Good Company is still a sideways proposition Back after trading halt, but no change. Up slightly at midday, but there is no support. Looks very toppy - resistance at $3.05 - now 7 days in a row. Time stop = get out Up 2% still within trend band. Maintain stop at $2.36 “but coming into sell zone at $7.10 to $7.20” - yep strong intra-day resistance here

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Thursday, 28th April 2011 ASX Small Ords (continued)
Name Seek Ltd Sigma Pharma. Virgin Blue Whitehaven Coal Wotif.com Code SEK SIP VBA WHC WTF Pattern/Stance Sideways bearish, possible breakout Sideways bullish, possible breakout Medium term downtrend, finding support Sideways bearish Medium term uptrend Position AVOID BULLISH COVER AVOID BULLISH Notes “but coming into sell zone at $7.10 to $7.20” yep strong intra-day resistance here “time stop might apply soon” - out of this one for now. “bullish divergence on indicators indicate a bottom soon” - still no time to buy. Ever. Closed almost 1% lower yesterday, gapped down 4% today. Downgrade is obvious. Up slightly, but getting into sell zone again at $5.80. Another Good Company

Calendar
Date Thursday, 28th April Friday, 29th April Friday, 29th April Tuesday, 10th May Event/Company BPT, ILU, OSH, WHC AWE, HZN, MMX, TAP Macquarie (MQG) Commonwealth Bank (CBA) Notes Production reports Production reports Earnings Release March QTR Trading update

For more up to date information on upcoming events go here.

Glossary of Terms
Term Bullish Bearish Long/Short Sideways Hold Avoid Resistance Support Momentum Description Biased towards an uptrend in the stock, either trend continuing or a new trend to develop Biased towards a downtrend in a stock, or lack of potential for growth, or to add to a short The buying/selling of a security (or derivative thereof) with expectation it will rise/fall in value Usually with a bullish/bearish bias, the stock is consolidating and not moving in a medium term basis, but may move in between a channel of prices through short term trends. To maintain the position and examine risk management (e.g tighten stops) To avoid a position entirely, but not to stop watching for future potential An upper price level that a stock or index can trade to, but not exceed. A lower price level that a stock or index can trade down to, but not drop below. The rate of change or acceleration of prices, either upwards or downwards.

MacroBusiness Trading Day

The Prince

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