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 Post subject: August 4th Thursday 2011 Emini TF ($TF_F) points +23.60
PostPosted: Thu Aug 04, 2011 10:51 pm 
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Trade Results of M.A. Perry
Trader and Founder of WRB Analysis (wide range body/bar analysis)
Price Action Trading (no technical indicators)

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click on the above image to view today's trading summary

Trade Performance for Today: +23.60 points or $2360.00 dollars in the Russell 2000 Emini TF ($TF_F) Futures.
Russell 2000 Emini TF Futures - 1 tick or 0.10 = $10.00 dollars and there's more contract information @ The ICE.
S&P 500 Emini ES Futures - 1 tick or 0.25 = $12.50 dollars and there's more contract information @ CMEGroup.

In addition, all trades were posted real-time in the free #FuturesTrades chat room. Today's #FuturesTrades trading chat room logs provides details about each one of my trades from entry to exit along with commentary as the trade traversed...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=93&t=958. To join our free chat room...registration instructions located at a different forum @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=5&t=630

Also, posted below are direct links to information about my trade methodology and trading plan (there's a difference between the two) 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/viewtopic.php?f=5&t=180.

Image Volatility Trading Report (VTR) @ http://www.thestrategylab.com/VolatilityTrading.htm and there's a free trade signal strategy @ http://www.thestrategylab.com/tsl/forum/viewforum.php?f=89 so that you can freely test drive one of our trade strategies with support prior to purchasing the Volatility Trading Report (VTR).

Image Trading Plan Daily Routine @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=142&t=1168

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Image Market Summaries

The below summaries by Bloomberg, CNNMoney and Yahoo! Finance helps me to do a quick review of the fundamentals, FED/ECB/IMF actions or any important global economic events that had an impact on today's price action. Simply, I'm a strong believer that many variables (key market events) causes key changes in supply/demand and volatility that results in swing points and strong continuation price actions. Thus, I pay attention to these key market events from one trade to the next trade to give me the market context for my technical analysis. Just as important, these summaries becomes my archives to allow me to understand what was happening on any given trading day in the past...something I can not get from my broker statements alone.

Image Bloomberg.com (Youtube Video) - U.S. Stocks Plunge, S&P 500 Has Biggest Loss Since 2009

Aug. 4 (Bloomberg) -- Bloomberg's Debrorah Kostroun reports on the performance of the U.S. equity market today. U.S. stocks plunged, driving the Standard & Poor's 500 Index to the biggest decline since February 2009, as concern the global economy is weakening prompted a global rout.

Image CNNMoney.com - Stocks: Worst Day Since 2008 Financial Crisis
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click on the above image to view today's price action of key markets

By Annalyn Censky August 4, 2011: 5:18 PM ET

NEW YORK (CNNMoney) -- Stocks plunged Thursday in their single worst day since the 2008 financial crisis.

The Dow tumbled 512 points -- its ninth deepest point drop ever -- as fear about the global economy spooked investors.

"The conventional wisdom on Wall Street was that the economy was growing -- that the worst was behind us," said Peter Schiff, president of Euro Pacific Capital. "Now what people are realizing is the stimulus didn't work, and we may be headed back to recession."

U.S. markets were already sharply lower on widespread worries, including the weak job market. But the selling gained momentum as Japanese and European policymakers stepped in with dramatic measures to shore up their financial markets.

There's "total fear" in the market, said Bob Doll, chief equity strategist at the world's largest money manager, BlackRock.

All three major indexes tumbled more than 4% Thursday and erased all their gains for the year. The indexes have also pushed into "correction" territory -- defined as a 10% drop from recent highs. The Dow, Nasdaq and S&P 500 have all fallen 10% in just the last 10 days.

"In the last two weeks, we've been through the ringer," said Rich Ilczyszyn, market strategist with futures broker Lind-Waldock. "When we start looking at the recovery, there's nothing to hang our hats on anymore."

* Video - Blackrock: Investors Feel The Fear

The market's fear gauge -- the VIX (VIX) -- surged 35.8% to a reading of 31.8. A level above 30 signals a high degree of fear.

At the closing bell, the Dow Jones industrial average (INDU) was down 512 points, or 4.3%, with Alcoa (AA, Fortune 500), Caterpillar (CAT, Fortune 500) and Bank of America (BAC, Fortune 500) among the biggest drags on the blue chip index. Thursday's sell-off marked the steepest point loss since October 2008.

The S&P 500 (SPX) was down a staggering 60 points, or 4.8%.

The Nasdaq (COMP) lost 136 points, or 5.1%. Some of the better performing tech stocks, Apple (AAPL, Fortune 500), Google (GOOG, Fortune 500) and Netflix (NFLX) were all down between 2% and 3%.

Fears about a global slowdown are at the forefront of investors' minds amid recent weak economic data. Early Thursday, the latest reading on jobless claims showed a large number of Americans remain unemployed.

* 10 job killing companies

Adding further to investors' jitters, Wall Street is waiting for Friday's jobs report, which BlackRock's Doll said was adding to the selling pressure.

The report is now a bit of wild card after it has come in far below forecasts for the last two months.

Economists surveyed by CNNMoney are expecting the report to show that the U.S. economy created 75,000 jobs in July, marking a slight improvement over the paltry 18,000 jobs added in June.

The unemployment rate is expected to hold steady at 9.2%.

* Video - Job Cuts By The Thousands

Economy: Economic woes weren't contained to the United States.

In moves that they hoped would tame financial markets, Japan's government stepped in to weaken the yen, and the European Central Bank decided to re-enter the European bond market for the first time since March.
Track currencies

Those decisions come just a day after Switzerland intervened to curb the Swiss franc's rise.

"It's true that we are in a period of a high level of uncertainty, not only in the euro area but at the global level," ECB President Jean-Claude Trichet said in a press conference Thursday.

The ECB wasted no time and immediately started buying European bonds while Trichet's press conference was still going on. But bond traders were quickly disappointed, after they discovered the central bank only bought Portuguese and Irish debt -- not the Spanish and Italian bonds at the center of the crisis.

The ECB also left interest rates unchanged at 1.5% and initiated a 6-month refinancing operation to add liquidity to European markets.

European stocks plunged. Britain's FTSE 100 (UKX) tumbled 3.4%, Germany's DAX (DAX) lost 3.9% and France's CAC 40 (CAC40) fell 3.4%.

Asian markets ended the session mixed. The Shanghai Composite and Japan's Nikkei edged up 0.2%, while the Hang Seng in Hong Kong fell 0.5%.

Meanwhile, it should come as no surprise that in the U.S., investors flocked to assets perceived as low-risk, including Treasuries and gold.

Treasury prices rose, pushing the yield on the 10-year note down to 2.43% from 2.6% late Wednesday, and gold futures for December delivery fell $7.30 to $1,659 an ounce. Earlier in the session, gold hit a record high of $1,684.70 an ounce.

In other commodities, oil prices slumped 5.3% to $86.63 a barrel.

Companies: Auto giant General Motors' (GM, Fortune 500) second-quarter earnings nearly doubled to $2.5 billion, as revenue rose 19% and topped expectations. Shares of GM slid 4.3%.

After the closing bell, insurance giant AIG (AIG, Fortune 500) reported second-quarter operating income of $1.28 billion, falling short of analysts' expectations.

Shares of LinkedIn (LNKD) surged 7.8% in afterhours trading, when the newly-public company reported its second-quarter profit doubled from a year ago and its sales beat forecasts.

In addition to quarterly financial reports, retailers were also announcing July sales results.

Costco Wholesale Corp. (COST, Fortune 500) said its same-store sales climbed 10% last month, while Limited (LTD, Fortune 500) said sales rose 6%.

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Image Yahoo! Finance - Market Update

4:30 pm : Aggressive selling resumed today, causing the Dow to drop 500 points, the Nasdaq Composite to plummet 5%, and the S&P 500 to sink 60 points to 1200 for its worst single-session performance in more than two years.

Ongoing concerns about the global economy remained a driving force in today's sell-off, which was steady and orderly. Losses were ushered in with heavy share volume, and left the S&P 500 at its lowest level in nine months, or about 12% below its early May high.

Even safe havens like gold and silver failed to escape selling pressure as traders opted to sell their profitable picks in order to meet margin calls on other holdings. Gold settled lower by 0.5% at $1658.20 per ounce after it had rallied to a new all-time high at $1684.90 per ounce. Silver sank 5.6% to $39.42 after it had hit a three-month high of $42.30 per ounce.

The scope of this session's slide has many wondering what the market has in store tomorrow, when the official nonfarm payrolls report will be released. Today, though, participants were dealt a weekly initial jobless claims tally of 400,000, which isn't much better than the 405,000 initial claims that had been broadly expected among economists polled by Briefing.com.

Renewed macro tension in Europe prompted the European Central Bank President Trichet to provide markets with additional liquidity with an extension of maturities related to financing operations. In a similar vein, Japan expanded its asset purchase plan, but also intervened in the yen, which tumbled more than 3% against the greenback before it could pare some of that loss. Weakness in the yen and euro helped drive the Dollar Index 1.8% higher.

Every single sector in the S&P 500 fell more than 3% today. Materials and energy stocks suffered the worst of it all. The two sectors sank 6.6% and 6.8%, respectively.

Retailers weren't far behind, based on the SPDR S&P Retail ETF (XRT 48.55, -3.38), which fell 6.5%. The group's weakness came not only because of broad market weakness, but also from a generally uninspiring batch of monthly same-store sales results. Although it didn't offer any monthly metric, teen apparel and accessories retailer Aeropostale (ARO 12.53, -3.99) saw almost one quarter of its market cap melt away after the company cut its guidance.

Dow component Kraft (KFT 33.78, -0.52) had gapped up by about 6% to a multi-year high at the open, thanks to news that the company will spin off its North American grocery business, but the blue chip was ultimately imbued by broad market weakness.

Advancing Sectors: (None)
Declining Sectors: Energy -6.8%, Materials -6.6%, Financials -5.2%, Industrials -5.4%, Consumer Discretionary -4.8%, Tech -4.5%, Health Care -3.8%, Telecom -3.3%, Utilities -3.2%, Consumer Staples -3.1%DJ30 -512.76 NASDAQ -136.68 NQ100 -4.6% R2K -6.0% SP400 -5.9% SP500 -60.27 NASDAQ Adv/Vol/Dec 203/3.27 bln/2442 NYSE Adv/Vol/Dec 140/1.82 bln/2968

3:30 pm : Concerns about global economies continued to wreak havoc on commodities today. In turn, the CRB Commodity Index dropped 2.8% to a near seven-month low.

Oil suffered one of the steepest drops. Specifically, crude oil prices settled at 86.63 per barrel for a 5.8% loss. That marked its greatest single-day drop since May 5 -when it fell more than 8% - on the back of concerns about global economic health. Futures prices had recorded intraday lows of $86.04, which marks the commodity's worst level since February 18.

Natural gas prices closed lower by 3.4% at $3.95 per MMBtu. Futures prices had actually traded higher in early pit trade, but bearish inventory data spurred a reversal that took the commodity as low as $3.92 per MMBtu, which made for its worst level since mid-March.

However, safe havens like gold and silver benefited from weakness in the broader commodity complex and a plunging stock market. In morning trade, December gold, which eventually settled lower by 0.5% to $1658.20 per ounce, rallied to a new all-time high at $1684.90 per ounce. September silver, which lost 5.6% to close at $39.42, traded back above $42 to a three-month high of $42.30 per ounce. The late morning plunge suffered by the pair of precious metals took gold as low as $1642.20 per ounce and silver down to $38.47 per ounce. Many traders attributed the sell-off to liquidation that followed margin calls in other asset classes. DJ30 -404.19 NASDAQ -109.16 SP500 -47.09 NASDAQ Adv/Vol/Dec 243/2.43 bln/2383 NYSE Adv/Vol/Dec 175/1.17 bln/2928

3:00 pm : Only one hour remains in today's trade. As things stand, the Dow will book its ninth loss of the past 10 sessions, leaving it at a new 2011 closing low. In an effort to recoup some of its loss, the Dow has rebounded about 50 points from the intraday low that it set only minutes ago, but it is still down more than 300 points for the session. Based on its current level, the Dow has dropped more than 1,000 points, or 9.1%, during the past 10 days.

Importantly, participation has been strong, suggesting increased conviction among traders and investors. The pick up in participation already has share volume on the NYSE above 1 billion.

Concerted, broad market selling pressure undercut shares of blue chip Kraft (KFT 34.85, +0.55), which had set a multi-year high this morning in response to news that the company will spin off its North American grocery business as it forms two separate publicly traded companies. In turn, shares of KFT actually surrendered a gain of about 6% to trade with a narrow loss earlier this afternoon. The stock has since rallied back to an enviable gain. DJ30 -357.00 NASDAQ -93.07 SP500 -41.51 NASDAQ Adv/Vol/Dec 256/2.22 bln/2366 NYSE Adv/Vol/Dec 181/1.06 bln/2909

2:30 pm : The major market averages have tumbled to their worst levels of the session as the Dow sports a loss of more than 400 points. The Nasdaq continues to pace today's declines as it trades down in excess of 3.8%.

Shares of Gap (GPS 16.92, -2.29) are down almost 12% after the company reported July same store sales fell 5.0% when the Retail Metrics Consensus was looking for a 0.6% decline. The company did however announce upside guidance for the second quarter, saying it expects earnings per share of $0.33-0.34 versus the Capital IQ Consensus Estimate of $0.29 and preliminary sales of $3.39 billion. Gap now expects inventory per store at the end of the second quarter of fiscal year 2011 to be up in the mid-single digits compared to the a year ago.DJ30 -405.70 NASDAQ -103.18 SP500 -47.77 NASDAQ Adv/Vol/Dec 248/2.10 bln/2348 NYSE Adv/Vol/Dec 161/1.01 bln/2916

2:00 pm : The dollar index is at its best levels of the session near 75.10 as today's flight to safety has provided a bid in the greenback. The euro has been knocked down by more than 220 pips to its current 1.4140 as contagion fears spook investors. The problems in the region that were once thought to be contained to the periphery are now making their way into Italy, the region's third largest economy. The inability to quickly contain the problem will likely weigh further on the single currency. The yen saw significant weakness after Japan's Ministry of Finance decided to dump yen onto the market in an effort to stem the currency's rise. Initial weakness dropped the yen to 80.24 before it began paring its losses. Currently, the currency trades near 78.70, a level last seen on July 26. The Aussie dollar is under attack today as fears of a global economic slowdown weigh on the currency. Today's decline of more than 240 pips to 1.0525 has the currency down more than 400 pips over the past three days.DJ30 -332.86 NASDAQ -84.36 SP500 -38.08 NASDAQ Adv/Vol/Dec 301/1.88 bln/2281 NYSE Adv/Vol/Dec 193/897.2 mln/2878

1:30 pm : We've seen a little relief since the European markets closed, but markets remain under pressure. The sharp losses in Europe today (major markets closing down over 3%) are likely being exacerbated by deleveraging, which is reducing liquidity around the world as those markets decline. Given the interconnectedness of the global markets, these pressure are having an impact on U.S. liquidity, adding to pressures in U.S. equities, and thus further deleveraging. As deleveraging takes place, highly-liquid equity markets become the victim, as they offer the most convenient place to raise cash. This can also explain some of the reversals in precious metals, which likely saw some forced selling and profit-taking to raise funds as equities plummeted.

While Europe will be a major factor again tomorrow, we also have the added volatility catalyst of the U.S. Employment Report for July, which will be released at 8:30 a.m. ET.

With today's losses, S&P is now -8.9% over the past 9 days. For comparision, Germany's DAX is -12.5% and the UK's FTSE is -9.1% over that same period. DJ30 -290.48 NASDAQ -73.17 SP500 -33.01 NASDAQ Adv/Vol/Dec 333/1.74 bln/2236 NYSE Adv/Vol/Dec 215/830.3 mln/2841

1:00 pm : The major indices have pared their losses, but are still seeing sizable declines as all three trade down by at least 2.2%. The Nasdaq continues to be the worst performer, holding a loss of 2.4%.

European banking stocks are under pressure as contagion fears work their way into Italy. Italian yields are on the rise once again, climbing as much as 16 bps despite earlier bond purchases by the European Central Bank. Banking giants such as Barclays (BCS 12.92, -1.35) and Deutsche Bank (DB 48.01, -3.51) are seeing heavy selling as investors look to dump financial holdings with exposure to the region.

Energy stocks are grappling with some of the most severe selling interest. The sector has already slumped to a 4.2% loss. Apache (APA 112.51, -5.94) and Transocean (RIG 55.55, -3.48) are leading losses following their latest quarterly reports.

Kraft (KFT 35.25, +0.95) is one of the lone bright spots after posting better than expected earnings, raising its full-year 2011 guidance, and announcing it will create two independent companies, a global snacks business and a North American grocery business. The company announced earnings per share of $0.62 which was $0.04 better than the Capital IQ Consensus Estimate and revenues of $13.88 billion. Also providing a boost to shares was the company raising its full-year 2011 guidance to $2.20-$2.25 per share from its previous $2.20 per share.

Treasuries are seeing more safe-haven buying as macroeconomic fears remain on center stage. Buying in the complex has dropped the 2-yr yield to a record low 0.2763% as traders look to park their money into maturities across the complex despite the compressed yields. An earlier decline of more than 14 bps in the 10-yr yield dropped it below 2.50% for the first time since early November.

The dollar index has climbed back to the 75.00 area as traders look to hold dollars. Selling has pushed the euro down more than 200 pips to 1.4150 while the Aussie dollar is lower by 240 pips at 1.0530. Overnight intervention in the yen dropped it to 80.24 per dollar, but it has pared a good portion of its losses and now trades 78.90 per.

Precious metals have seen strong reversals, and trade near session lows at their respective $1653and $39.70.DJ30 -266.79 NASDAQ -65.85 SP500 -30.47 NASDAQ Adv/Vol/Dec 331/1.61 bln/2230 NYSE Adv/Vol/Dec 230/767.9 mln/2811

12:30 pm : The major indices have pared some of their losses, but are still under intense selling pressure. The Nasdaq is lower by 3.1% while the S&P and Dow are sporting losses of 2.8% and 2.6% repsectively.

Kraft (KFT 35.22, +0.92) is one of the lone bright spots after announcing posting better than expected earnings and raising its full-year 2011 guidance. The company announced earnings per share of $0.62 which was $0.04 better than the Capital IQ Consensus Estimate and revenues of $13.88 billion. Also providing a boost to shares was the company raising its full-year 2011 guidance to $2.20-$2.25 per share from its previous $2.20 per share. The Board of Directors announced it intends to create two independent companies, a global snacks business and a North American grocery business. DJ30 -306.22 NASDAQ -78.21 SP500 -35.09 NASDAQ Adv/Vol/Dec 297/1.47 bln/2250 NYSE Adv/Vol/Dec 208/701.1 mln/2810

12:00 pm : Treasuries are seeing more safe-haven buying this morning as macroeconomic fears remain front and center. Buying in the complex has dropped the 2-yr yield to a record low 0.2803% as traders look to park their money in maturities across the complex despite the compressed yields. The long bond is up close to three full points which has made for a decline of more than 16 basis points in its yield to 3.743%. A decline of more than 14 bps in the 10-yr yield has dropped it below 2.50% for the first time since early November. As buyers flock to Treasuries the yield curve continues to tighten with the 2-10-yr spread now down to 220 basis points.DJ30 -332.03 NASDAQ -39.52 SP500 -90.03 NASDAQ Adv/Vol/Dec 273/1.25 bln/2250 NYSE Adv/Vol/Dec 233/600.2 mln/2765

11:30 am : The major market averages are just off their worst levels of the session as fears of a global economic slowdown take hold. The Nasdaq leads today's decline with a loss of 2.7% while the Dow is outperforming with a loss of 2.2%.

European banking stocks are under pressure as contagion fears work their way into Italy, the third largest economy in the Euro zone. Italian yields are on the rise once again, climbing as much as 16 bps, despite earlier bond purchases by the European Central Bank. Banking giants such as Barclays (BCS 12.91, -1.36) and Deutsche Bank (DB 48.00, -3.52) are seeing heavy selling as investors look to dump financial holdings with exposure to the region. DJ30 -278.90 NASDAQ -77.19 SP500 -33.98 NASDAQ Adv/Vol/Dec 321/988.0 mln/2162 NYSE Adv/Vol/Dec 323/483.0 mln/2650

11:00 am : After failing to stabilize above the prior session's low, stocks have retreated deeper into the red to set a new 2011 low. The bleeding continues to be broad based.

In response to the stock market's precipitous drop, Treasuries have been bid sharply higher. That has the yield on the benchmark 10-year Note at its lowest level in nine months.

The greenback continues to climb, too. In turn, the Dollar Index was last spotted at a new session high with a 1.4% gain, even though the yen has managed to modestly improve its position so that it is now down 2.4% to 79.00 yen per dollar. DJ30 -246.05 NASDAQ -72.99 SP500 -29.99 NASDAQ Adv/Vol/Dec 292/680 mln/2152 NYSE Adv/Vol/Dec 365/315 mln/2586

10:35 am : A slumping stock market has made many traders turn defensive. As a result, participants continue to chase to new record highs, most recently above $1680 per ounce. The yellow metal was last quoted with a 0.8% gain at $1680 per ounce. Silver prices set a new multimonth high above $42 per ounce earlier this morning. It was last quoted with a 0.5% gain at $41.95 per ounce.

In the energy complex, oil prices are down 1.6% to $90.50 per barrel as they extend their downward trend. Natural gas prices had been up this morning, but the energy component has since dropped to a 2.0% loss at $4.01 per MMbtu. Its slide has been helped along by news that weekly inventories had a greater-than-expected build of 44 bcf.

Although precious metals continue to attract support, the broader commodity complex is contending with stiff selling. In turn, the CRB Commodity Index is down 1.1% to trade at a new monthly low beneath its 200-day moving average. DJ30 -169.88 NASDAQ -51.35 SP500 -20.65 NASDAQ Adv/Vol/Dec 364/435 mln/2004 NYSE Adv/Vol/Dec 450/210 mln/2456

10:00 am : The S&P 500 recently came within just a couple of points of the 2011 intraday low that was set during the prior session, but a modest upturn has helped the benchmark Index put some additional distance between itself and the depths that were set during yesterday's trade.

Utilities and consumer staples stocks are attracting buyers after a weak start. The two sectors are now down a relatively tame 0.4% and 0.5%, respectively. Energy stocks, down 2.6%, are still in the worst shape, but materials, down 2.5%, aren't faring much better. DJ30 -153.57 NASDAQ -46.42 SP500 -19.91 NASDAQ Adv/Vol/Dec 350/160 mln/1941 NYSE Adv/Vol/Dec 411/95 mln/2407

09:45 am : Renewed selling pressure this morning has more than erased the prior session's gain. The slide has yet to test yesterday's intraday low, though.

There isn't a single sector that has managed to limit its loss to less than 1%, but energy stocks are grappling with some of the most severe selling interest. The sector has already slumped to a 2.7% loss. Apache (APA 114.70, -3.75) and Transocean (RIG 55.13, -3.90) are leading losses following their latest quarterly reports. DJ30 -171.88 NASDAQ -46.93 SP500 -19.90 NASDAQ Adv/Dec 1524/1037 NYSE Adv/Dec 1740/1267

09:15 am : S&P futures vs fair value: -14.20. Nasdaq futures vs fair value: -25.50. Stock futures have worked their way up from morning lows, but the cash market is still expected to open with a marked loss. Renewed pressure comes as participants fail to find encouragement from the latest round of earnings and same-store sales announcements, weekly initial jobless claims, and action among overseas markets. The dollar has made a sharp bounce higher, however. The greenback's gain follows news that Japan will intervene in its currency and expand its asset purchase plan. European Central Bank President Trichet announced in a press conference plans to increase liquidity amid renewed tension in the region. The euro is now down 1% against the dollar in the wake of that announcement. That loss, along with pronounced pressure against the yen, has helped the Dollar Index climb 1.3%. Despite such a heady move, gold prices continue to climb as many participants pursue safety and others chase the move. The yellow metal set a new record high above $1680 per ounce earlier this morning.

09:05 am : S&P futures vs fair value: -13.00. Nasdaq futures vs fair value: -23.30. Skittishness among investors sent gold prices to a new record high above $1680 per ounce earlier this morning. The yellow metal currently trades with a 0.6% gain at $1676 per ounce. Silver prices were recently quoted with a 0.3% gain at $41.90 per ounce after easing back from the new multi-month high above $42 per ounce that was set earlier this morning. As for oil, it continues to trend lower. The energy component is currently priced at $91.25 per barrel for a 0.7% loss. Natural gas prices are up 0.4% to $4.11 ahead of the latest weekly inventory report at 10:30 AM ET.

08:35 am : S&P futures vs fair value: -20.10. Nasdaq futures vs fair value: -35.00. Stock futures initially responded positively to news that initial jobless claims for the week ended July 30 totaled 400,000, which is less than the 405,000 initial claims that had been broadly expected among economists polled by Briefing.com, but the tone has since soured following comments from European Central Bank President Trichet, who indicated that renewed tension in the region will be met with additional liquidity and an extension of maturities related to financing operations.

08:05 am : S&P futures vs fair value: -13.10. Nasdaq futures vs fair value: -22.50. Early traders have been inundated with a barrage of headlines. Among the more striking, the yen has dropped 3% against the greenback following a currency intervention by the Japanese. Japan's central bank also opted to expand its asset purchase plan, but kept its target lending rate unchanged at 0.0% to 0.1%. On a similar note, the Bank of England left its benchmark rate at 0.5%, while the European Central Bank kept its target rate at 1.5%. More than a hundred earnings announcements have been made since the prior session's close. Dow component Kraft (KFT) posted an upside surprise, but announced its plan to spin off its North American grocery business. In other earnings news, General Motors (GM) posted a big earnings surprise, but Southwest Airlines (LUV) missed the consensus earnings estimate. Retailers are out with monthly same-store sales results. Their numbers have been somewhat mixed. The economic calendar is light ahead of the non-farm payrolls report tomorrow. The only item of consequence is the latest weekly jobless claims tally, which will be posted at the bottom of the hour. Amid all of the announcements, selling pressure has resumed. Stocks snapped a seven-session losing streak yesterday by rallying back from a 1% loss, but that move has failed to extend into today's premarket trade.

06:52 am : [BRIEFING.COM] S&P futures vs fair value: -12.40. Nasdaq futures vs fair value: -24.50.

06:52 am : Nikkei...9659.18...+22.00...+0.20%. Hang Seng...21884.74...-108.00...-0.50%.

06:52 am : FTSE...5523.39...-61.10...-1.10%. DAX...6607.18...-33.40...-0.50%.

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 Trading (no technical indicators)
Image@ http://twitter.com/wrbtrader and http://stocktwits.com/wrbtrader

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