TheStrategyLab.com Price Action Trading Support Forum

Forum for price action traders that want to learn WRB Analysis basic tutorial chapters 1, 2 and 3 prior to purchasing our advance trade methods. Hashtags: #wrbanalysis #wrbzone #wrbhiddengap #priceaction #trading
It is currently Thu Mar 28, 2024 7:46 pm

All times are UTC - 5 hours [ DST ]




Post new topic Reply to topic  [ 1 post ] 
Author Message
 Post subject: October 27th Wednesday 2010 Emini TF ($TF_F) points +4.20
PostPosted: Thu Oct 28, 2010 9:37 am 
Offline
Site Admin

Joined: Sat Jan 10, 2009 2:06 pm
Posts: 4335
Location: Canada
Image

Trade Results of M.A. Perry
Trader and Founder of WRB Analysis (wide range body/bar analysis)
Price Action Only Trading (no indicators)

click on the below image to view normal size
Attachment:
102710_wrbtrader_PnL_Blotter_Profit.png
102710_wrbtrader_PnL_Blotter_Profit.png [ 31.94 KiB | Viewed 271 times ]

Trade Performance for Today: +4.20 points or $420 dollars in the ICE Russell 2000 Emini TF ($TF_F) Futures.
1 tick or 0.10 = $10 dollars and to find out more contract information about the Russell 2000 Emini TF...click here.

In addition, today's #FuturesTrades chat room logs provides details about each trade from entry to exit along with commentary as the trade traversed...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=82&t=662

Also, posted below are direct links to information about my trade methodology or trading approach that enables me to identify key trading areas in the price action that represent changes in supply/demand and volatility along with being able to exploit these changes via WRB Analysis (wide range body/bar analysis).

Image WRB Analysis Tutorials @ http://www.thestrategylab.com/WRBAnalysisTutorials.htm and there's a free study guide of the WRB Analysis Tutorial Chapters 1, 2 and 3 @ http://www.thestrategylab.com/tsl/forum/viewforum.php?f=119. However, you must join the TSL Support Forum to access the free study guide. To register...click here.

Image Volatility Trading Report (VTR) @ http://www.thestrategylab.com/VolatilityTrading.htm

Image Daily Trade Routine @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=123&t=791

-----------------------------

Image Market Summaries

The below summaries by Bloomberg, CNNMoney and Yahoo! Finance helps me to do a quick review of the fundamentals, FED actions, global economics that had an impact on today's price action. Simply, I'm a strong believer that many variables causes key changes in supply/demand and volatility that's arguably just as important as my technical analysis.

Image Bloomberg Video - Stocks Decline as Investors Tone Down Fed Expectations
Oct. 27 (Bloomberg) -- Bloomberg's Courtney Donohoe reports on the performance of the U.S. equity market today. U.S. stocks tumbled, snapping a five-day gain for the Standard & Poor's 500 Index, as investors speculated that the Federal Reserve's efforts to shore up the economy will be gradual. Bloomberg's Pimm Fox also speaks.

Image CNNMoney.com - Stocks Falter On Questions About Fed Stimulus

click on the below image to view normal size
Attachment:
chart_ws_index_dow4.top[1].png
chart_ws_index_dow4.top[1].png [ 17.16 KiB | Viewed 299 times ]

By Ben Rooney, staff reporter
October 27, 2010: 5:19 PM ET

NEW YORK (CNNMoney.com) -- Stocks closed mixed Wednesday, with technology shares posting small gains, as investors lowered their expectations for an aggressive move by the Federal Reserve to stimulate the economy.

After falling over 130 points earlier in the day, the Dow Jones industrial average (INDU) closed down 43 points, or 0.4%. The S&P 500 (SPX) slid 3 points, or 0.3%. But the Nasdaq (COMP) gained 6 points, or 0.2%, to close above 2,500 points.

Stocks had been climbing for weeks on speculation that the U.S. central bank will announce another round of asset purchases at the end of its next policy meeting on November 3. But investors said the market may have over estimated the size and timing of the expected policy, known as quantitative easing.

"The headlines today are that the Fed's effort to rescue the economy may not be the shock-and-awe campaign many had expected," said Mark Luschini, chief investment strategist at Janney Montgomery Scott. "That's taking some of the fun out of the market."

Luschini said investors are now expecting the Fed to take a more "measured approach" to quantitative easing. "We're likely to see the Fed doing it in a stair step fashion to see if it's getting traction," he said.

The change in sentiment came after a report in the Wall Street Journal said the Fed is likely to buy "a few hundred billion" worth of Treasuries over a period of "several months." Market participants had been expecting the Fed to announce plans to buy an additional $500 billion to $1 trillion worth of Treasuries.

In addition, Bill Gross of PIMCO, the largest U.S. bond fund, wrote in his most recent outlook that he thinks the Fed is setting the stage for a future bout of inflation.

But the toned down expectations helped support the U.S. dollar, which gained ground against the euro, pound and yen. The stronger buck weighed on commodities priced in the U.S. currency. Oil futures fell 0.7%, while gold futures lost over 1%.

Shares of energy companies led decliners on the Dow, with Chevron (CVX, Fortune 500) and Exxon (XOM, Fortune 500) both down about 2%. Industrial names Caterpillar (CAT, Fortune 500) and Boeing (BA, Fortune 500) were also down sharply.

But the technology sector was generally stronger, driven by gains in shares of semiconductor companies such as Broadcom.

Shares of some big banks, which had been beaten down recently, were also higher. Bank of America (BAC, Fortune 500) gained 2% and JPMorgan (JPM, Fortune 500) edged up nearly 1%.

After the market closed, Visa (V, Fortune 500) said fiscal fourth-quarter profits rose 51% over last year on strong sales performance across all business lines. But shares of the credit card provider fell 1.5% in after hours trading.

Meanwhile, investors largely shrugged off economic reports on durable goods orders and new home sales in September. But traders said there was some trepidation ahead of next week's midterm elections to determine which political party will control of Congress.

Companies: Shares of Sprint (S, Fortune 500) fell nearly 10% after the company reported a loss of 30 cents per share, which the company said was caused by a massive tax-related charge.

German software maker SAP (SAP) said third-quarter earnings rose 11% versus last year, though results were below analysts' forecast. Shares fell 5%.

Chipmaker Broadcom (BRCM, Fortune 500) reported strong third-quarter results and said it expects growing demand for wireless services to support profits in the future. The company's stock gained over 11%.

Results from Procter & Gamble beat expectations by 2 cents, posting earnings per share of $1.02. The company reported growth in all geographic regions, with their shippment volumes rising 8%. Shares rose 0.2%.

Comcast (CMCSA, Fortune 500) also beat analyst expectations, reporting earnings per share of 30 cents -- a decrease from the 33 cents posted last year. The company said a large chunk of revenue loss is due to NBC Universal integration-related costs. Shares gained nearly 3%.

Tech infrastructure firm CommScope (CTV) announced that it has reached an agreement to be purchased by asset manager The Carlyle Group, in a transaction valued at about $3.9 billion.

The New York Post reported that Google (GOOG, Fortune 500) is close to striking a $2 billion deal for a building in Manhattan that occupies an entire city block. Google currently rents office space in the building.

Economy: The Commerce Department said new orders for manufactured durable goods in September increased $6.3 billion or 3.3%, after falling 1.3% in August.

Economists surveyed by Briefing.com had expected an increase of 1.8%. However, orders excluding transportation were down 0.8%, which was worse than expected.

A separate report showed that sales of newly built single-family homes rose 6.6% in September to an annual rate of 307,000 units. Economists had expected an annual rate of 299,000 units in the month, compared with 288,000 units the month before.

World markets: European stocks also tumbled. Britain's FTSE 100 dropped 1%, the DAX in Germany lost 0.7% and France's CAC 40 declined 0.9%.

Asian markets ended their session mixed. Japan's benchmark Nikkei index rose 0.1%, and the Hang Seng in Hong Kong lost 1.9%. The Shanghai Composite ended down 1.5%.

Currencies and commodities: The dollar continued to strengthen against the euro, the British pound and the Japanese yen.

Oil futures for December delivery dropped 59 cents to $81.96 a barrel. The government's weekly oil inventory report showed Wednesday that oil and gas supplies rose more than expected last week.

The drop in oil prices followed a U.S. Geological Survey report that showed revised estimate for the amount of conventional, undiscovered oil in the National Petroleum Reserve in Alaska. The agency said untapped oil reserves are about 90% less than previously estimated.

Gold for December delivery fell $15.30 to $1,3227 an ounce.

Bonds: Prices on U.S. Treasuries fell, pushing yields higher. The benchmark 10-year note yield rose to 2.7% from 2.64% late Tuesday. The government is expected to auction off $35 billion of 5-year notes on Wednesday.

Image

Image Yahoo! Finance - Market Update

4:25 pm : The broader market was dropped for a loss of more than 1% amid another bounce by the dollar, but some late session support helped stocks stage a strong swing higher into the close.

Speculation that any future measures of quantitative easing might be applied gradually or be smaller in scope than had been hoped propped up the dollar today. Its strength over competing currencies sent the Dollar Index up 0.5%, so that it is now up almost 3% from the 2010 low that it set less than two weeks ago.

Strength in the dollar overshadowed the latest round of earnings announcements, which were generally upbeat. In turn, participants actually drove the stock market down to a loss of more than 1% before an afternoon rally slashed losses and actually gave the Nasdaq a gain.

Strength in the Nasdaq was mostly owed to semiconductor stocks following better-than-expected earnings and strong guidance from Broadcom (BRCM 41.56, +4.34), which hit a new 52-week high and helped drive the Philadelphia Semiconductor Index 3.1% higher.

Comcast (CMCSA 20.27, +0.63) also provided leadership to the Nasdaq after it announced an upside earnings surprise of its own, but the broader market's reaction to other reports was less consistent.

Both Whirlpool (WHR 81.04, -3.48) and ConocoPhillips (COP 60.08, -0.74) posted upside earnings surprises, but each stock sold off while a bottom line beat by Northrop Grumman (NOC 61.38, +0.03) was met with indifference. Dow component Procter & Gamble (PG 63.08, +0.22) also beat on the bottom line, but it only attracted sustainable support into the close.

A positive earnings surprise from Aflac (AFL 56.39, +1.20) took shares of the insurer to a new 52-week high and provided leadership to financials, which mustered a 0.1% gain. It was the second best performing sector behind technology, which climbed 0.4%.

Of the sectors that logged losses, materials were hit the hardest. As a group they fell 0.9%, most of which was the result of a 2.7% loss among diversified metals and miners.

Data did little for stocks this session. Durable goods orders for September increased 3.3%, which is much better than the 1.8% increase that had been expected among economists polled by Briefing.com, but after excluding transportation, orders actually fell 0.8%, which contrasts with the consensus call for a 0.2% increase.

New home sales for September increased 6.6% month-over-month to an annualized rate of 307,000 units, which is greater than the rate of 299,000 units that had been expected among economists polled by Briefing.com.

Widespread weakness had the Volatility Index up more than 10% to trade near its 50-day moving average for the first time in about three weeks, but the stock market's late session run caused volatility to cool. In turn, the Volatility Index was up about 4% at the close of trade.

Even in the face of higher volatility and sizable losses among stocks, Treasuries never found support. In fact, pressure was so stiff in that space that the yield on the 10-year Note climbed to a one-month high of 2.72%, which is about where the Note closed.

For the second straight session Treasuries failed to find support in the wake of an auction of Notes. This time $35 billion in 5-year Notes were up for grabs. The auction drew a yield of 1.33% on a bid-to-cover ratio of 2.8 and an indirect participation rate of 39.5%.

Advancing Sectors: Tech (+0.4%), Financials (+0.1%)
Declining Sectors: Materials (-0.9%), Industrials (-0.7%), Energy (-0.6%), Consumer Discretionary (-0.5%), Consumer Staples (-0.5%), Utilities (-0.5%), Health Care (-0.5%), Telecom (-0.4%)DJ30 -43.18 NASDAQ +5.97 NQ100 +0.3% R2K -0.4% SP400 -0.1% SP500 -3.19 NASDAQ Adv/Vol/Dec 994/2.02 bln/1626 NYSE Adv/Vol/Dec 1026/1.02 bln/1924

3:30 pm : The dollar was once again a major factor for the direction of trade in commodities. Precious metals, as a whole, shed 0.9%. Dec gold was the largest declining precious metal after it closed down 0.9% to $1322.60 per ounce. Dec silver settled down 0.8% to $23.40 per ounce.

Dec crude oil settled lower by 0.7% to $81.94 per barrel. This morning's substantially larger-than-expected build in inventories had little effect on prices today, as evidenced to the muted reaction to the data. Instead, crude oil once again focused on action in the dollar and equities. It did manage to recoup some of its losses heading into the close. Dec natural gas closed near the flat line at $3.77 per MMBtu. DJ30 -71.94 NASDAQ +0.24 SP500 -5.84 NASDAQ Adv/Vol/Dec 834/1.6 bln/1783 NYSE Adv/Vol/Dec 856/726.3 mln/2099

3:00 pm : Stocks are on the mend. The move has taken the Nasdaq up to the neutral line. Meanwhile, the S&P 500 has more than halved the loss that it had seen at its session low.

The tech sector has actually mustered a 0.2% gain. That makes it the only major sector that has found its way into higher ground. Most of the sector's strength is owed to semiconductor stocks, which are now at a session high with a 2.7% gain. DJ30 -79.20 NASDAQ -1.52 SP500 -6.27 NASDAQ Adv/Vol/Dec 796/1.49 bln/1795 NYSE Adv/Vol/Dec 807/664 mln/2123

2:30 pm : The latest earnings results from Jones Apparel Group (JNY 15.12, -4.40) failed to hit the consensus estimate. That has prompted participants to dump the stock and send it to a loss of more than 20%, which makes it one of this session's worst performers. Such weakness has imbued shares of other retailers, which are collectively down 1.6%.

In contrast, better-than-expected earnings and a strong forecast have helped Broadcom (BRCM 41.21, +3.99) run up more than 10% to a new 52-week high. Other semiconductor plays have been inspired, such that the Philadelphia Semiconductor Index is up 2.3%. DJ30 -113.22 NASDAQ -7.45 SP500 -9.82 NASDAQ Adv/Vol/Dec 712/1.37 bln/1864 NYSE Adv/Vol/Dec 725/610 mln/2219

2:00 pm : The stock market has recovered a bit from its recent session low, but it continues to trade with a marked loss. The Nasdaq continues to do a much better job of limiting its loss, which is currently less than half of what the broader market has had to contend with.

Declining issues outnumber advancers by 3-to-1 on the NYSE. But in the face of such decidedly negative market breadth semiconductor stocks have rallied to a 1.9% gain. Semiconductor stocks are still only up 1.8% year to date, though. DJ30 -112.69 NASDAQ -7.91 SP500 -9.65 NASDAQ Adv/Vol/Dec 677/1.26 bln/1884 NYSE Adv/Vol/Dec 709/565 mln/22223

1:30 pm : The S&P 500 recently slipped another leg lower. That took the broad market measure to a fresh session low. Though this is shaping up to be the stock market's worst performance in just over a week, it will only be the first actual loss in six sessions.

Preassure against Treasuries has with little made of results from a $35 billion auction of 5-year Notes. The auction drew a yield of 1.33% on a bid-to-cover ratio of 2.8 and an indirect participation rate of 39.5%. For comparison, the average of the past 10 auctions puts the bid-to-cover ratio at almost 3.0 and the indirect bidder participation rate at 45%. The yield on the 5-year Note now stands at 1.29% while the yield on the 10-year Note is at 2.69%. DJ30 -132.27 NASDAQ -14.58 SP500 -11.86 NASDAQ Adv/Vol/Dec 622/1.17 bln/1937 NYSE Adv/Vol/Dec 665/522 mln/2262

1:00 pm : Better-than-expected earnings continue to be met with a mixed reaction from market participants, especially in the face of a stronger dollar.

Stocks started the session in the red and extended their slide amid additional gains by the greenback. The dollar was up only modestly this morning, but it has since extended that move to a 0.5% gain.

Strength in the dollar has been underpinned by speculation that any further quantitative easing will come in gradual, drawn out phases than some had previously hoped. Of course, such speculation assumes further quantitative easing is a foregone conclusion.

Overall, market participants have been uninspired by the latest lot of earnings announcements, though many of the reports have featured upside surprises. Dow component Procter & Gamble (PG 62.88, +0.02) posted better-than-expected earnings, but its shares have been stuck near the neutral line. Such lackluster action has failed to offset weakness in integrated energy plays like Chevron (CVX 83.44, -1.71) and Exxon Mobil (XOM 65.21, -1.32) after investors shrugged off a bottom line beat by ConocoPhillips (COP 59.74, -1.08). Lower oil prices have not helped the energy space -- oil is down 1.5% to $81.30 per barrel.

Weakness among energy stocks has been matched by weakness among materials plays. As such, both sectors are down 1.6%, which places them this session's worst performers.

Financials have done a relatively solid job of limiting losses. The sector is down just 0.4% at the moment, thanks largely to support from Aflac (AFL 56.14, +0.95), which posted a positive earnings surprise for its latest quarter, and American Express (AXP 40.57, +0.47), which disclosed that a director of the company purchased 20,000 shares of AXP on Monday.

Semiconductor stocks (+1.5%) have been especially strong following better-than-expected earnings and strong guidance from Broadcom (BRCM 40.66. +3.44). That has helped the Nasdaq outperform the Dow and S&P 500 on a relative basis for the second straight session. Comcast (CMCSA 20.16, +0.52), which announced an upside earnings surprise of its own, has also helped support the tech-rich index.

Volatility is up sharply amid the broader market's widespread weakness. That has the Volatility Index up about 9% to its 50-day average. The VIX has not been this high in three weeks.

Despite the rise in volatility and the weakness of the broader market, Treasuries have failed to attract any real support. In fact, early pressure against the 10-year Note sent its yield to a one-month high above 2.70%, but selling has since eased a bit so that the Note's yield is now a couple of basis points lower. Due at any moment are results from the latest auction of 5-year Notes. DJ30 -134.56 NASDAQ -13.71 SP500 -11.77 NASDAQ Adv/Vol/Dec 647/1.07 bln/1887 NYSE Adv/Vol/Dec 674/478 mln/2230

12:30 pm : The dollar recently eased off of its session high, but it is still up a strong 0.5%. Its strength continues to dampen support for stocks, which remain markedly lower.

Of the major averages, the Dow is in the worst shape. Its outsized loss stems largely from weakness in integrated energy plays Chevron (CVX 83.55, -1.60) and Exxon Mobil (XOM 65.16, -1.37), both of which have been caught up in disappointment over the latest quarterly report from ConocoPhillips (COP 59.81, -1.01). ConocoPhillips actually posted better-than-expected earnings, but failed to inspire buyers with its in-line forecast. DJ30 -123.33 NASDAQ -12.32 SP500 -11.00 NASDAQ Adv/Vol/Dec 679/975 mln/1823 NYSE Adv/Vol/Dec 694/440 mln/2190

12:00 pm : Despite its defensive stature, the utilities sector is down 1.1%, which is even worse than the broader market's current loss. Utilities have been weakened by an earnings miss from Southern Co (SO 38.11, -0.17) and a downgrade of Exelon (EXC 40.59, -0.52) by analysts at Goldman Sachs.

Financials, which were largely absent from the S&P 500's two week run up toward the 1200 line, have managed to limit their losses better than any other sector this session. Financials are currently down just 0.1%, collectively. Diversified financial services plays (+0.8%) and consumer finance stocks (+0.7%) have provided the sector with the most support. DJ30 -113.07 NASDAQ -10.91 SP500 -9.89 NASDAQ Adv/Vol/Dec 657/895 mln/1840 NYSE Adv/Vol/Dec 698/408 mln/2178

11:30 am : Selling has stoked volatility, such that the Volatility Index is up more than 10% to its 50-day moving average and its highest level in about three weeks.

Despite the weakness of the stock market, Treasuries have failed to find any real support. As such, the benchmark 10-year Note is down 10 ticks so that its yield is at 2.68%. However, Treasuries are off of their session low, when the yield on the 10-year was at 2.71%, its highest level in more than a month. DJ30 -133.43 NASDAQ -16.00 SP500 -11.91 NASDAQ Adv/Vol/Dec 541/788 mln/1912 NYSE Adv/Vol/Dec 599/358 mln/2249

11:00 am : Selling pressure has intensified in the past hour. That has taken the stock market to a fresh session low. Weakness remains widespread in that all 10 major sectors are in the red, and half of them are down in excess of 1%.

Financials (-0.3%) and tech (-0.3%), though also in the red, continue to fend off sellers' stiffest efforts.

Financials are currently led by Aflac (AFL 56.48, +1.29), which posted a positive earnings surprise for its latest quarter, and American Express (AXP 40.57, +0.47), which disclosed that a director of the company purchased 20,000 shares of AXP on Monday.

As for tech, it continues to be led by Broadcom (BRCM 40.13, +2.91), which is at a fresh 52-week high following a better-than-expected earnings report and strong outlook. DJ30 -125.12 NASDAQ -12.33 SP500 -11.58 NASDAQ Adv/Vol/Dec 616/642 mln/1794 NYSE Adv/Vol/Dec 641/292 mln/2189

10:35 am : December crude oil fell almost $1 as pit trading began at 9:00am ET, shortly ahead of inventory data. Strength in the dollar index is also likely weighing down on most of the energy sector. December crude remained near session lows after inventory data was reported at a build of 5.007 million barrels compared to the 1.0 million barrel build consensus. Crude is now 1.6% lower at $81.21 per barrel.

However, December natural gas, which becomes the front month at the close of pit trade today, is trading independently of crude, heating oil and RBOB, as it shows gains of 1.8% currently trading at $3.83 per MMBtu.

Precious metals are also weak due to the strength in the dollar index this morning. December gold put in fresh session lows of $1322.60 per ounce in recent trade and is currently down 1.2% at $1322.00 per ounce. December silver is 1.6% lower at $23.44 per ounce.DJ30 -107.55 NASDAQ -8.86 SP500 -9.87 NASDAQ Adv/Vol/Dec 656/497.3 mln/1682 NYSE Adv/Vol/Dec 698/231.7 mln/2075

10:00 am : New home sales numbers for September were just released. The data indicate that new home sales increased 6.6% month-over-month to an annualized rate of 307,000 units, which is greater than the rate of 299,000 units that had been expected among economists polled by Briefing.com.

Stocks have reacted positively to the data, but the broader market remains in the red. However, tech and financials -- the two biggest sectors by market weight -- have poked into positive territory to trade with respective gains of 0.1% and 0.2%, respectively. Their strength could provide the broader market with leadership, which is something that it lacked in the prior session as resistance kept the S&P 500 out of positive territory. DJ30 -56.46 NASDAQ +1.50 SP500 -4.94 NASDAQ Adv/Vol/Dec 801/275 mln/1397 NYSE Adv/Vol/Dec 828/136 mln/1842

09:45 am : Though in the red with a modest loss, the Nasdaq is outperforming its counterparts for the second straight session. Support stems from the likes of Comcast (CMCSA 20.07, +0.43) and Broadcom (BRCM 39.91. +2.69), both of which posted better-than-expected earnings for the latest quarter. Broadcom complemented that feat with strong guidance.

In the broader S&P 500, weakness is rather widespread. However, losses are currently steepest among natural resource plays. That has taken the materials sector down 1.1% and the energy sector down 1.0%. Those two sectors have been hurt most by diversified metals and miners (-2.7%) and integrated oil and gas plays (-1.2%), respectively. DJ30 -74.28 NASDAQ -4.74 SP500 -6.81 NASDAQ Adv/Vol/Dec 662/174 mln/1433 NYSE Adv/Vol/Dec 712/99 mln/1923

09:15 am : S&P futures vs fair value: -7.20. Nasdaq futures vs fair value: -9.30. Futures suggest that the stock market is headed for a firmly lower start in the face of another batch of better-than-expected earnings from a bevy of widely held firms. The dollar remains a primary driver of buying and selling in the broader market, but its pullback from its morning high has not been enough to improve the tone of premarket trade as it continues to sport a modest lead over competing currencies. That extends its prior session advance. Speculation about more gradual quantitative easing has helped. Of course, such speculation assumes further quantitative easing is a foregone conclusion. Data has done little for stocks so far, mostly because durable goods orders for September came in mixed. Participants get their hands on the latest new home sales numbers at 10:00 AM ET, though. Weekly oil inventory data follows at 10:30 AM ET, then comes results from an auction of 5-year Notes at 1:00 PM ET.

09:00 am : S&P futures vs fair value: -7.20. Nasdaq futures vs fair value: -10.00. Futures for the S&P 500 recently slipped back toward their morning low. Meanwhile, Germany's DAX has recovered to the flat line after an opening in the red. Deutsche Bank (DB) has been a leader in that move, following the company's latest earnings report. Shares of DB are currently on pace for their best single-session performance on the German bourse since two weeks ago. France's CAC has also recovered from an early loss to trade flat. BNP Paribas and Sanofi-Aventis (SNY) have been its primary leaders, though Total (TOT) continues to weigh on action. Britain's FTSE is still in the red with a 0.5% loss. Metals and mining plays Rio Tinto (RTP), Xstrata (XTA), and Anglo American have hampered the Index, though banking issues HSBC (HBC), Barclays (BCS), and Lloyds Group (LYG) have attempted to provide support.

In Asia, Japan's Nikkei mustered a 0.1% gain amid support from TDK Corp, Softbank, and Honda Motora (HMC). However, Canon (CAJ) was a source of weakness. The company reported for its latest quarter strong earnings and revenue, raised its profit outlook for fiscal 2010, but trimmed its revenue forecast for the year. As for data, business confidence in Japan eased to 46.4 in October from 47.3 in September. Mainland China's Shanghai Composite dropped 1.5%. PetroChina (PTR), China Life Insurance, and Ping An Insurance were among the most damaging issues. Inner Mong Bao and Inner Mongolia offered some support, though. Hong Kong's Hang Seng also plummeted. It closed with a 1.9% loss as Hang Lung Properties and Cosco Pacific were the only two names in the 45-member Index to stage any kind of gain. China Construction Bank, China Life Insurance, PetroChina, and CNOOC (CEO) were atop the list of laggards.

08:35 am : S&P futures vs fair value: -5.00. Nasdaq futures vs fair value: -8.00. Stock futures gyrated a bit with the latest dose of data, but they have since stabilized. Durable goods orders for September increased 3.3%, which is much better than the 1.8% increase that had been expected among economists polled by Briefing.com. It also marks the biggest bounce since January and a sharp rebound from the 1.0% decline that was registered in the prior month. Excluding transportation, orders actually fell 0.8% in September. That contrasts with the consensus call for a 0.2% increase. It also compares negatively with the 1.9% increase that was recorded for August.

08:05 am : S&P futures vs fair value: -4.70. Nasdaq futures vs fair value: -8.30. Earnings continue to come in better than analysts had anticipated, but that has failed to lift stock futures in the face of continued gains by the greenback. The dollar is currently up 0.3% against competing currencies, overshadowing bottom line beats from Comcast (CMCSA), Procter & Gamble (PG), Aflac (AFL), Broadcom (BRCM), and Whirlpool (WHR). Sprint Nextel (S) and Southern Co. (SO) were among the handful of names that came short of expectations. Data has the potential to drive action as market participants look for positive signs in the macro environment. Durable goods orders for September and new home sales numbers for September are the latest items on the docket. They are due at 8:30 AM ET and 10:00 AM ET, respectively. Data will stay in focus as the week progresses with weekly jobless claims due tomorrow and the advance reading on third quarter GDP due on Friday. As recently communicated by the Fed, data will underpin policy decisions. That includes actions on further quantitative easing.

07:15 am : S&P futures vs fair value: -3.90. Nasdaq futures vs fair value: -6.00.

07:15 am : Nikkei...9387.03...+9.70...+0.10%. Hang Seng...23164.58...-436.70...-1.90%.

07:15 am : FTSE...5683.78...-23.50...-0.40%. DAX...6622.22...+8.10...+0.10%.

Special thanks to Bloomberg, CNNMoney and Yahoo! Finance for their market summaries. gm

Best Regards,
M.A. Perry
Trader and Founder of WRB Analysis (wide range body/bar analysis)
Price Action Only Trading (no indicators)
Image@ http://twitter.com/wrbtrader and http://stocktwits.com/wrbtrader

Phone: +1.708.572.4885
Business Hours: 8am - 5pm est (Mon - Fri)
Skype Messenger: kebec2002
questions@thestrategylab.com
Go Back To TheStrategyLab.com Homepage


Top
 Profile  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 1 post ] 

All times are UTC - 5 hours [ DST ]


Who is online

Users browsing this forum: No registered users and 2 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to:  
cron
Powered by phpBB © 2000, 2002, 2005, 2007 phpBB Group
Translated by Xaphos © 2007, 2008, 2009 phpBB.fr