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 Post subject: July 20th Friday 2012 Emini TF ($TF_F) points +9.30
PostPosted: Fri Jul 20, 2012 11:37 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 performance verification

Price Action Trade Performance for Today: +9.30 points or $930 dollars in the Russell 2000 Emini TF ($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 #TheStrategyLab chat room. You can read today's #TheStrategyLab trading chat room logs for details (e.g. time, price, contract size) about each one of my trades from entry to exit along with price action commentary as the trade traversed in comparison to what's shown in the above image...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=106&t=1277.

Also, posted below are direct links to information about my price action 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=119&t=718.

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 price action 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=163&t=1526

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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.

U.S. Stocks Slide 1%, Financials Drag

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click on the above image to view today's price action of key markets

NEW YORK (CNNMoney) -- After three days of gains, U.S. stocks fell Friday, as a mixed bag of corporate news and ongoing debt problems in Europe prompted investors to take some money off the table.

Dow Jones industrial average (INDU) dropped 121 points, or 0.9%, the S&P 500 (SPX) dipped 14 points, or 1%, and the Nasdaq (COMP) fell 41 points, or 1.4%.

Financial shares were among the biggest decliners, with Bank of America (BAC, Fortune 500) leading the Dow's slide. JPMorgan Chase (JPM, Fortune 500), Citigroup (C, Fortune 500) and Morgan Stanley (MS, Fortune 500) also fell, with shares down between 1% and 4%.

Investors were parsing through a big batch of quarterly earnings reports.

General Electric (GE, Fortune 500) was one of the top gainers on the Dow, after the company reported earnings ahead of the opening bell that topped estimates, despite weaker-than-expected revenue.

But shares of Advanced Micro Devices (AMD, Fortune 500) and Chipotle Mexican Grill (CMG) tumbled on disappointing results.

Investors had been bracing for a lackluster quarter. While nearly all of the companies that have reported so far have topped earnings expectations, analysts' forecasts were very low to begin with, and many companies, like GE, have been missing revenue targets, noted Ryan Detrick, senior technical strategist at Schaeffer's Investment Research.

In fact, just 45% of companies that have reported have topped revenue expectations. That's the lowest percentage since the first quarter of 2009, according to FactSet. Over the past four years on average, 56% of companies reported actual sales above the mean sales estimate at this same point in earnings season.

* Fear & Greed Index

Meanwhile, there are still signs of weakness in the broader economy, and Europe's debt crisis remains a concern.

Eurozone finance ministers met Friday, and finalized the terms of the first part, or €30 billion, of a bailout for Spanish banks, but the deal provided little relief for investors.

Much like Greece, Spaniards have taken to the streets in violent protest of tough austerity cuts, which the eurozone's fourth-largest economy needs to make. The yield on the benchmark 10-year Spanish bond jumped to a record high of 7.28% Thursday.

"Europe's issues are obviously still on the table," said Detrick. "This coupled with some disappointment on the revenue front from most companies has led to some skittishness ahead of the weekend."

Despite Friday's losses, the three major indexes ended the week with modest gains. The Dow and S&P 500 rose 0.4%, while the Nasdaq climbed 0.6%.

While the last several months have been volatile, stocks are still enjoying solid gains for the year. The Dow is up 5%, the S&P 500 has gained 8% and the Nasdaq has rallied 12%.

World markets: European stocks finished sharply lower. Britain's FTSE 100 (UKX) slipped 1.1%, the DAX (DAX) in Germany shed 1.8% and France's CAC 40 (CAC40) fell 2%.

Asian markets ended mixed. The Shanghai Composite (SHCOMP) fell 0.7% and Japan's Nikkei (N225) dropped 1.4%, while the Hang Seng (HSI) in Hong Kong added 0.4%.

Companies: Xerox (XRX, Fortune 500) shares were lower after the company reported second-quarter earnings that were in line with forecasts, but the company missed revenue estimates and issued downward guidance for the current quarter.

Shares of SanDisk (SNDK, Fortune 500) soared a day after the company blew past analysts' expectations and said it expects strong demand for the remainder of the year. SanDisk makes flash technology used in mobile phones, tablets and eReaders.

Google (GOOG, Fortune 500) shares rose a day after the search giant reported an 11% increase in profit.

Early Friday, entertainment company Viacom (VIA) reached a "long-term" deal with DirectTV (DTV, Fortune 500), ending a week-long feud between the two. That means that DirectTV subscribers won't lose access to more than a dozen channels, including MTV, Nick and Comedy Central.

IPOs were also in focus early Friday. Palo Alto Networks (PANW) jumped more than 30% in its public debut after pricing its initial public offering at $42 a share -- above its estimated range. Shares of travel site Kayak (KYAK) also climbed more than 30% on their first day of trading Friday. Kayak priced its IPO also above its estimated range, at $26 a share.

* Related: Corn prices shoot higher as drought worsens

Currencies and commodities: The dollar gained against the euro and the British pound but was lower versus the Japanese yen.

Oil for August delivery fell $1.22 to settle at $91.44 a barrel.

Gold futures for August delivery gained $2.40 to settle at $1,582.80 an ounce.

Bonds: The price on the benchmark 10-year U.S. Treasury rose, pushing the yield down to 1.46% from 1.52% late Thursday.

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Market Update

4:10 pm : Stocks saw a persistent bid over the first four days of this week, helped by low expectations for earnings results and continued hope that the Fed will eventually step in with additional quantitative easing. The low expectations into earnings helped several major index components move higher on what might normally be considered to be lackluster earnings reports, characterized by slight earnings beats and revenue misses. The continued Fed hopes allowed broader markets to shake off disappointing economic data. While stocks gained over the first four sessions of the week, sentiment turned negative on Friday as European concerns weighed on stocks, paring the week’s gain down to just 0.5%.

Stocks opened lower on Friday and showed weakness over the course of the day, as renewed worried about Spain knocked Spain's equity market down 5.8% and weighed heavily on other European markets. Spain's 10-year yield climbed back above the 7.0% level to end the week at 7.2%. Egan Jones downgraded Spain's sovereign debt rating to CC+ from CCC+ following word the Spanish region of Valencia needs government help to meet its debt obligations. The EU also recently released a Memorandum of Understanding on the bailout of the Spanish banking sector which calls for a EUR30 billion tranche to be released shortly, ahead of a stress test of the system which will be completed by the end of September. A Spanish roadmap will be created by the end of November.

Looking at U.S. equity movers, Chipotle Mexican Grill (CMG 316.98, -86.88) saw its largest ever percentage loss for one session after disappointing the Street on the top line, and warning about costs in the back half of the year. Other momentum restaurant stocks such as Panera Bread (PNRA 144.97, -5.72) and Starbucks (SBUX 51.96, -2.24) also showed relative weakness.

Looking at the technology sector, flash memory producer SanDisk (SNDK 38.70, +3.62) was a notable outperformer after the company beat second quarter estimates and gave a bullish outlook for the remainder of the year. On the other hand, chip maker Advanced Micro Devices (AMD 4.22 -0.64) missed reduced expectations and guided third quarter revenue below expectations.

Google (GOOG 610.82, +17.76) was one of the lone bright spots this morning as the stock trades up close to 3.0% after announcing earnings of $10.12 per share which beat the Capital IQ Consensus Estimate of $10.09 per share. The company also announced revenues surged 39% year over year to $9.61 billion which was well above the consensus estimate of $8.41 billion. Key metric paid clicks rose 1% quarter over quarter and 42% year over year.

Treasuries saw heavy buying dropping yields across the curve to near record lows. Today’s session brought about a record low print in the 5-yr yield as it hit 0.576%. Meanwhile, the benchmark 10-yr yield holds just above its record low 1.440%. Significant flattening of the yield curve has the 2-10-yr spread tighter at 124.5 basis points... Today was also the July options expiration.

Recapping the first four days of the week, we'd note that Monday started with weakness in China following comments from Chinese Premier Wen Jiabao, which suggested China's economic recovery may take some time. Elsewhere, reports out of Europe indicated that the ECB was looking to impose losses on bondholders of Spanish banks which are most impacted by the crisis. Earnings season continued as Citigroup (C 25.93, -0.65) finished slightly higher following its mixed quarterly results. The S&P was nearly flat on the day.

On Tuesday, the flow of earnings continued as market participants awaited the highly anticipated testimony by Ben Bernanke. Goldman Sachs (GS 94.16, -0.84) beat top and bottom line estimates, but only finished marginally higher on the day. Mosaic (MOS 57.50, -0.12) finished higher by over 4% following better than expected results. On the other hand, Johnson & Johnson (JNJ 68.63, -0.90) missed revenue expectations and lowered FY12 guidance. As far as the Bernanke testimony, one key item that stuck out was the mention of possible deflation, which may have been interpreted as one potential justification for more quantitative easing. Shortly following this mention, markets seemed to catch a bid, and the S&P finished 1.6% higher on the day.

On Wednesday, The Fed's Beige Book was released and suggested "overall economic activity continued to expand at a modest to moderate pace in June and early July." Excerpts from the Beige Book hinted that reports on residential housing were "largely positive" and drought caused "stress to crops and livestock" while indicating employment grew at a "tepid pace." The S&P managed a 0.6% again for the session.

On Thursday, earnings season stepped into high gear. Morgan Stanley (MS 12.78, -0.47) shares fell 5% after the bank reported disappointing earnings and revenues. MS reported Q2 earnings of $0.28 per share including its Debt Valuation Adjustment, or DVA, and $0.16 excluding DVA. The Capital IQ consensus called for EPS of $0.33. Revenues were also below expectations. International Business Machines (IBM 192.45, -2.69) was a notable winner, rallying 3.8% and regaining its 200-day moving average as the stock was able to shake off a top line miss. The S&P inched out a gain of 0.3%.

Looking to next week, approximately 750 companies that we cover are expected to report second quarter results, including 175 companies in the S&P 500. Apple (AAPL 604.30, -10.02) will announce its results on Tuesday afternoon, and Facebook (FB 28.76, -0.24) will report its first quarter as a public company following Thursday's closing bell. On Monday morning, McDonald's Corp. (MCD 91.58, -1.18), Halliburton (HAL 30.77, +0.56), and Eaton Corp. (ETN 39.06, -0.47) will report their results.DJ30 -120.79 NASDAQ -40.60 SP500 -13.85 NASDAQ Adv/Vol/Dec 649/1.70 bln/1818 NYSE Adv/Vol/Dec 1004/1.00 bln/2037

3:35 pm : An advance by the dollar put pressure on crude oil during today's pit trade. The energy component struggled in negative territory all session, falling as low as $90.92 per barrel. Although it closed in the red at $91.90 per barrel, the energy component still managed to book a solid 5.0% gain for the week.

Natural gas extended gains for a third session in a row and closed above the $3.00 per MMBtu level for the first time since February. With today's climb, natural gas closed the week 6.9% higher as it settled at $3.08 per MMBtu.

Gold and silver came off their respective pit session lows of $1572.60 and $26.74 per ounce set moments after the open.

Both metals managed to erase morning losses as buyers stepped in following news of a worsening Spanish debt crisis. Gold touched a session high of $1584.80 per ounce before it settled the week 0.6% lower at $1582.70 per ounce. Silver climbed to a session high of $27.40 per ounce and finished at $27.30 per ounce, or 0.3% below last week's closing price.DJ30 -119.88 NASDAQ -36.72 SP500 -13.17 NASDAQ Adv/Vol/Dec 656/1361.1 mln/1771 NYSE Adv/Vol/Dec 921/619 mln/2089

3:00 pm : The Dollar Index holds at session highs near 83.50, benefitting from a safety bid sparked by further worries about Spain. The euro hit 1.2145, its lowest level in more than two years, after headlines crossed suggesting the Spanish region of Valencia was seeking government assistance to help pay its debts. When compared to the yen, the single currency fell to 95.35, its lowest level since November 2000. Meanwhile, the Australian dollar has dropped from an almost three-month high as sellers took control near the 1.0400 level. The hard currency will be in focus through the first half of next week as Australian CPI and PPI data accompanies Chinese HSBC Flash Manufacturing PMI. Elsewhere, a larger than expected decline in Canada’s Core CPI caused the dollar to run to 1.0125 against the loonie before stabilizing. Today’s 45 pip advance has the pair back above its 200-day moving average.DJ30 -122.34 NASDAQ -32.89 SP500 -12.80 NASDAQ Adv/Vol/Dec 652/1.22 bln/1760 NYSE Adv/Vol/Dec 924/560.0 mln/2080

2:30 pm : Stocks continue to drift near sesssion lows as the Nasdaq trades down 1.1% while both the S&P 500 and Dow hold losses of 0.9%.

Kayak Software (KYAK 34.70, +8.70) and Palo Alto Networks (PANW 56.75, +14.75) are seeing strong gains following today’s initial public offerings. Today’s offerings are a positive development as their success suggests market participants are regaining some confidence following the disappointing Facebook (FB 29.01, +0.01) initial public offering.DJ30 -122.53 NASDAQ -32.70 SP500 -12.64 NASDAQ Adv/Vol/Dec 655/1.14 bln/2083 NYSE Adv/Vol/Dec 907/529.3 mln/2084

2:00 pm : All the major averages are hovering just above today’s lows. Crude saw notable jump but is currently off the new highs.DJ30 -125.82 NASDAQ -33.76 SP500 -12.86 NASDAQ Adv/Vol/Dec 633/1072 mln/1760 NYSE Adv/Vol/Dec 901/501 mln/2088

1:30 pm : The Street was somewhat cautious about second quarter results heading into the first busy week of earnings season that featured many bellwethers in the financial, technology and industrial sectors. In general, the positive response we have seen to earnings reports that might normally be considered lackluster is evidence of the low expectations that were built into the quarter. Currently, the S&P 500 is up close 0.8% since the start of earnings season.

Looking to next week, approximately 750 companies that we cover are expected to report second quarter results, including 175 companies in the S&P 500. Apple (AAPL 606.70, -7.61) will announce its results on Tuesday afternoon, and Facebook (FB 29.05, +0.05) will report its first quarter as a public company following Thursday's closing bell. On Monday morning, McDonald's Corp. (MCD 91.58, -1.18), Halliburton (HAL 31.33, +1.12), and Eaton Corp. (ETN 39.05, -0.48) will report their results.DJ30 -129.45 NASDAQ -36.34 SP500 -13.96 NASDAQ Adv/Vol/Dec 620/995.2 mln/2139 NYSE Adv/Vol/Dec 842/469.9 mln/2137

1:00 pm : Stocks continue to hold near session lows as the latest Spanish worries have provided a backdrop for more selling. The tech-heavy Nasdaq leads today’s decline with a loss of 1.2% while the Dow and S&P 500 are both off 0.9%.

Egan Jones downgraded Spain's sovereign debt rating to CC+ from CCC+ following word the Spanish region of Valencia needs government help to meet its debt obligations. The downgrade coincides with the Spanish 10-yr yield surging to a record high near 7.31% on the back of Valencia requesting assistance, and as the Spanish spread over Germany ballooned to a record high of more than 600 bps. The EU recently released a Memorandum of Understanding on the bailout of the Spanish banking sector which calls for a EUR30 bln tranche to be released shortly, ahead of a stress test of the system which will be completed by the end of September. A Spanish roadmap will be created by the end of November. Spain's IBEX closed down 5.8% at its lowest level since May 2010. iShares MSCI Spain Index Fund (EWP 21.06, -1.58) is underperforming with a loss of 7.0%.

Chipotle Mexican Grill (CMG 311.56.-92.30) is seeing its largest ever percentage loss for one session after disappointing the Street on the top line, and warning about costs in the back half of the year. Other momentum restaurant stocks such as Panera Bread (PNRA 142.49, -8.20) and Starbucks (SBUX 51.90 -2.30) are also lower.

Looking at the technology sector, flash memory producer SanDisk (SNDK 39.95 +4.87) is a notable outperformer after the company beat second qaurter estimates and gave a bullish outlook for the reminder of the year. On the other hand, chip maker Advanced Micro Devices (AMD 4.27 -0.59) missed reduced expectations and guided Q3 revenue below expectations.

Google (GOOG 610.25, +17.19) is one of the lone bright spots this morning as the stock trades up close to 3.0% after announcing earnings of $10.12 per share which beat the Capital IQ Consensus Estimate of $10.09 per share. The company also announced revenues surged 39% year over year to $9.61 bln which was well above the consensus estimate of $8.41 bln. Key metric paid clicks rose 1% quarter over quarter and 42% year over year.

The Volatility Index, or VIX, is up close to 9.5% this afternoon as the recent headlines out of Spain have led to an increase in volatility. Today’s surge in volatility is likely to end a streak of four losing days in the past five. The recent flight into risk assets that has been in place since the beginning of June has led to the VIX tumbling close to 45% to yesterday’s low below the 15.50 mark, a level that was last hit at the end of April. Today is options expiration.

Treasuries are back at their best levels of the session with heavy buying dropping yields across the curve to near record lows. Today’s session has already brought about a record low print in the 5-yr yield as it hit 0.576%. Meanwhile, the benchmark 10-yr yield holds just above its record low 1.440%. Significant flattening of the yield curve has the 2-10-yr spread tighter at 123 basis points.DJ30 -105.84 NASDAQ -31.26 SP500 -11.40 NASDAQ Adv/Vol/Dec 612/922.6 mln/1742 NYSE Adv/Vol/Dec 857/442.2 mln/2111

12:30 pm : Stocks hold near session lows as the Nasdaq paces today’s decline with a loss of 1.0%. Both the Dow and S&P 500 are seeing slight outperformance, sporting loss of 0.8%.

The Volatility Index, or VIX, is up 9% this afternoon as the recent headlines out of Spain have led to an increase in volatility. Today’s surge in volatility is likely to end a streak four losing days in the past five. The recent flight into risk assets that has been in place since the beginning of June has led to the VIX tumbling close to 45% to yesterday’s low below the 15.50 mark, a level that was last hit at the end of April. Today is options expiration.DJ30 -110.08 NASDAQ -33.11 SP500 -12.12 NASDAQ Adv/Vol/Dec 628/844.9 mln/1709 NYSE Adv/Vol/Dec 870/414.2 mln/2084

12:00 pm : Egan Jones downgraded Spain's sovereign debt rating to CC+ from CCC+ following word the Spanish region of Valencia needs government help to meet its debt obligations. The downgrade coincides with the Spanish 10-yr yield surging to a record high near 7.31% on the back of Valencia requesting assistance and as the Spanish spread over Germany ballooned to a record high of more than 600 bps. The EU recently released a Memorandum of Understanding on the bailout of the Spanish banking sector which calls for a EUR30 bln tranche to be released shortly, ahead of a stress test of the system which will be completed by the end of September. A Spanish roadmap will be created by the end of November. Spain's IBEX closed down 5.8% at its lowest level since May 2010. iShares MSCI Spain Index Fund (EWP 21.11, -1.53) is underperforming with a loss of 6.8%.DJ30 -84.69 NASDAQ -25.59 SP500 -9.22 NASDAQ Adv/Vol/Dec 659/765.5 mln/2021 NYSE Adv/Vol/Dec 903/385.7 mln/2021

11:35 am : Equity markets are still moderately lower, towards the lower end of the day's trading range.

The retail and financial sectors are leading the market to the downside this session.

Chipotle Mexican Grill (CMG 311.56.-92.30) is seeing its largest ever percentage loss for one session after a disappointing the Street on the top line and warning about costs in the back half of the year. Other momentum restaurant stocks Panera Bread (PNRA 143.60 -7.09) and Starbucks (SBUX 51.90 -2.30) are also lower.

Looking at the technology sector, flash memory producer SanDisk (SNDK 39.74 +4.66) is a notable outperformer in the technology sector after the company beat Q2 estimates and gave a bullish outlook for the reminder of the year. On the other hand, chip maker Advanced Micro Devices (AMD 4.27 -0.59) missed reduced expectations and guided Q3 revenue below expectations.

The energy sector is outperforming despite lower crude oil prices after large cap oil services companies Baker Hughes (BHI 45.41 +3.66) and Schlumberger (SLB 69.89 +1.25) reported better than expected Q2 results.

The IPO market came back in focus this morning. Both KAYAK (KYAK 33.00 +7.00) and Palo Alto Networks (PANW 56.09 +14.09) are seeing large gains in their first day of trading as public companies.DJ30 -81.55 NASDAQ -22.19 SP500 -8.53 NASDAQ Adv/Vol/Dec 652/685 mln/1631 NYSE Adv/Vol/Dec 901/359 mln/2054

11:00 am : The major averages hold just above their worst levels of the session with all three trading down close to 0.6%.

Google (GOOG 611.00, +17.94) is one of the lone bright spots this morning as the stock trades up close to 3.0% after announcing earnings of $10.12 per share which beat the Capital IQ Consensus Estimate of $10.09 per share. The company also announced revenues surged 39% year over year to $9.61 billion which was well above the consensus estimate of $8.41 billion. Key metric paid clicks rose 1% quarter over quarter and 42% year over year. Today’s gains have the stock testing levels last seen at the end of May. DJ30 -78.25 NASDAQ -19.22 SP500 -7.82 NASDAQ Adv/Vol/Dec 606/540.7 mln/1647 NYSE Adv/Vol/Dec 838/315.2 mln/2031

10:35 am : The dollar index has been trending higher all morning, which has pressured most commodities. Crude oil, gold, silver and copper all fell sharply earlier this morning. Copper remains near its session low of $3.44 and is now -2.3% at $3.46/lb.

Sept crude oil fell as low as $90.92/barrel, but has since ticked higher and is now -1.6% at $91.45/barrel. Aug natural gas futures surged higher today and rose as high as $3.06/MMBtu. Since pit trade, this energy component has been in positive territory and is now +1.2% at $3.04/MMBtu.

Gold and silver are recovering after hitting lows for the session earlier this morning (Gold $1572.60, Silver $26.74). Both precious metals are now showing modest losses with Aug gold -0.2% at $1577.30 and Sept silver -0.3% at $27.13/oz.DJ30 -80.86 NASDAQ -17.56 SP500 -8.42 NASDAQ Adv/Vol/Dec 566/432.4 mln/1627 NYSE Adv/Vol/Dec 750/283 mln/2073

10:00 am : The major averages remain trapped on session lows with all three down close to 0.7%.

Shares of Chiptole Mexican Grill (CMG 311.77, -93.09) are under severe pressure with the stock trading down 23% after receiving a wave of downgrades on missing revenue estimates by more than 2%. Today’s heavy selling comes despite the company announcing earnings of $2.56 per share which were well above the Capital IQ Consensus Estimate of $2.30, and after the company reaffirming its full-year 2012 comps. The weakness has dropped the to levels not seen since late 2011 which are aided by the 100-day moving average.DJ30 -85.52 NASDAQ -21.67 SP500 -9.30 NASDAQ Adv/Vol/Dec 447/268.0 mln/1676 NYSE Adv/Vol/Dec 589/222.1 mln/2134

09:45 am : All three of the major averages are down close to 0.6% as action holds on the opening lows. All of the S&P 500's sectors are in negative territory with industrials, financials, materials, and telcommunications seeing the heaviest selling. There is no data scheduled for release today.DJ30 -74.70 NASDAQ -15.03 SP500 -7.49 NASDAQ Adv/Vol/Dec 444/190.8 mln/1620 NYSE Adv/Vol/Dec 620/194.4 mln/2046

09:15 am : [BRIEFING.COM] S&P futures vs fair value: -7.50. Nasdaq futures vs fair value: -7.20. Equity futures point to a heavy open as headlines suggesting Spain's Valencia region will seek government help to pay its debt obligations have led to another leg lower. Chipotle Mexican Grill (CMG), Google (GOOG), and Microsoft (MSFT) will be in focus this morning after releasing their quarterly results following yesterday's closing bell. There is no data set for release.

08:58 am : [BRIEFING.COM] S&P futures vs fair value: -8.00. Nasdaq futures vs fair value: -6.20. Global equity markets are mostly lower today as weakness in Asia has spilled over into Europe. Data and headlines have been rather quiet as earnings have been the main driver in recent days. The major Asian bourses were unable to hold their early gains after U.S. earnings continued to mostly beat on the bottom line as worries of a global slowdown persist. Spanish yields are higher this morning with the 10-yr moving back above the critical 7.00% threshold following reports the Spanish region of Valencia will need government help to meet its debt obligations. That has led to some weakness in Europe where all of the major averages trade in negative territory.

The major Asian indices (Nikkei -1.4%< Hang Seng +0.4%, Shanghai -0.7%) closed mixed while most of the regional bourses saw a lower close. Japan’s Nikkei tumbled 1.4% as automaker Toyota Motor Corp. slipped 1.8% and shipper Tokio Marine Holdings gave up 3.4%. Hong Kong’s Hang Seng climbed 0.4% on light volume as a 7.2% advance in China Unicom helped propel the index into positive territory. The strong gains for the telecom operator came after the company announced it saw 3G subscribers increase 11% from June. Property developers were weak with China Overseas Land falling 2.6% to lead the sector lower. On the Mainland, China’s Shanghai Composite shed 0.7% as property and brokerage stocks were under pressure. China Vanke and Poly Real Estate fell 1.5% and 1.8% respectively after Beijing indicated the need for tighter property controls. Brokerage firms moved lower after seeing recent outperformance as traders booked profits. Haitong Securities slipped 1.3% following its announcement net income fell 9.4% in the first half of the year.

The major European bourses (FTSE -0.8%, CAC -1.4%, DAX -0.9%) are under pressure this morning with both Italy’s MIB and Spain’s IBEX off more than 3.5%. Britain’s FTSE is down 0.8% as miners and financials are among the worst performing sectors. Silver miner Fresnillo and financial giant Barclays are both seeing losses 2.0% to lead their sectors lower. Meanwhile, France’s CAC is down 1.4% as all but two names trade in negative territory. Financials are seeing significant selling pressure as Credit Agricole and BNP Paribas are lower by 3.4% and 2.7% respectively. In Germany, the DAX holds a loss of 0.9% as utilities pace the decline. RWE and E.ON are the two worst performing names, sporting respective losses of 4.5% and 3.4%. Today’s weakness comes after UBS lowered its rating on RWE to ‘sell’ from ‘neutral.’

08:27 am : [BRIEFING.COM] S&P futures vs fair value: -8.00. Nasdaq futures vs fair value: -6.80. The Dollar Index trades at session highs near 83.30 as recent selling in the euro has provided the bid. A loss of 85 pips has the single currency back down to 1.2190 with a move through 1.2160 producing the lowest print in more than two years. The latest dose of selling comes following reports that Spain’s Valencia region will seek government help to meet its debt obligations. Traders are carefully watching the euro/yen cross which is down 65 pips at 95.85. Today’s slide has the cross testing the June 1 low of 95.60, and with a breach of that level it will hit its lowest point since December 2000.

08:05 am : [BRIEFING.COM] S&P futures vs fair value: -7.40. Nasdaq futures vs fair value: -4.30. Stocks are taking a breather following this week's persistent bid, with U.S. futures trading modestly lower this morning. S&P futures are -0.6% following a generally weaker performance in overseas markets overnight.

A number of major index components have released earnings since last night's close. Google (GOOG 608.50, +15.44) is higher by 3% and Microsoft (MSFT 31.18, +0.52) is up 2% after both companies beat on the top and bottom lines. General Electric (GE 19.65, -0.15) is slightly lower following a mixed quarter, with EPS that beat by a penny on in-line revenues.

In Europe, markets have drifted lower on renewed debt concerns, as Spain's 10-year bond yield creeps back above 7%. Spain's equity market is a notable underperformer in the region, with a 2.8% loss. Germany's DAX is -0.5% while France's CAC is -1.0%.

Asian markets were mixed overnight, with weakness in Japan and China, whose markets fell 1.4% and 0.7%, respectively. Hong Kong outperformed with a 0.4% gain.

There is no U.S. economic data scheduled for today.

06:33 am : [BRIEFING.COM] S&P futures vs fair value: -4.00. Nasdaq futures vs fair value: -0.50.

06:33 am : Nikkei...8669.87...-125.70...-1.40%. Hang Seng...19640.80...+81.80...+0.40%.

06:33 am : FTSE...5693.72...-20.50...-0.40%. DAX...6745.26...-13.10...-0.20%.

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)
Image@ http://twitter.com/wrbtrader, http://stocktwits.com/wrbtrader and http://chart.ly/users/wrbtrader

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