TheStrategyLab.com Free 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
It is currently Fri Dec 15, 2017 3:29 am

All times are UTC - 5 hours




Post new topic Reply to topic Bookmark and Share  [ 1 post ] 
Author Message
 Post subject: September 4th Tuesday 2012 Emini TF ($TF_F) points +15.70
PostPosted: Tue Sep 04, 2012 12:36 pm 
Offline
Site Admin

Joined: Sat Jan 10, 2009 1:06 pm
Posts: 3020
Location: Canada
Image

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

Attachment:
090412-wrbtrader-Price-Action-Trading-PnL-Blotter-Profit-1570.png
090412-wrbtrader-Price-Action-Trading-PnL-Blotter-Profit-1570.png [ 85.68 KiB | Viewed 94 times ]

click on the above image to view today's performance verification

Price Action Trade Performance for Today: +15.70 points or $1570 dollars in the Russell 2000 Emini TF ($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=108&t=1313.

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 Price Action Analysis via 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 Trade Signal Strategies via 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=171&t=1594

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

Market Summaries

The below summaries by Bloomberg, CNNMoney, Reuters and Yahoo! Finance helps me to do a quick review of the fundamentals, FED/ECB/IMF actions or any important global economic events (e.g. Eurozone, MarketWatch.com) that had an impact on today's price action. Simply, I'm a strong believer that key market events causes key changes in supply/demand and volatility resulting in trade opportunities (swing points and strong continuation price actions) that reach profit targets. Thus, I pay attention to these key market events via WRB Analysis from one trade to the next trade to give me the market context before the appearance of my technical analysis trade signals. Therefore, I maintain these archives to allow me to understand what was happening on any given trading day in the past involving key market events to help better understand my trading and reactions to the markets...something I can not get from my broker statements alone.

U.S. Market Wrap

Sept. 4 (Bloomberg) -- Bloomberg's Deborah Kostroun reports on the performance of the U.S. equity market today. The Standard & Poor’s 500 Index fell, after trimming steeper declines, as speculation European leaders will announce new steps to tame the debt crisis tempered concern the economic recovery is slowing.

Attachment:
090412-Key-Price-Action-Markets.png
090412-Key-Price-Action-Markets.png [ 538.17 KiB | Viewed 70 times ]


Image

Market Update

4:15 pm : Stocks opened unchanged before falling into the red after today's economic data missed expectations. The August ISM Index was reported at 49.6 versus the 50.0 Briefing.com consensus, while July construction spending fell 0.9% month-over-month, against the expected increase of 0.5%. After reaching session lows 90 minutes after the open, stocks staged a slow climb higher which was punctuated by a broad-based mid-afternoon rally. Stocks rallied back near the flat line where they remained until the end of the day. As a result, the S&P 500 slipped 0.1% while Nasdaq gained 0.3%.

The telecom sector outperformed as Cincinnati Bell (CBB 5.06, +0.37) surged 7.9% after Raymond James upgraded the stock from ‘outperform' to ‘strong buy.' Elsewhere in the sector, shares of Verizon (VZ 43.70, +0.76) tacked on 1.8% after the company announced recent activation of its 4G LTE network coverage in Binghamton and Catskill, New York. Other names like CenturyLink (CTL 42.72, +0.46) and Windstream (WIN 9.97, +0.10) were up roughly 1.0% as investors rotated into safer, higher-yielding stocks.

The materials sector was the day's worst performer after the disappointing July construction spending numbers. The group's weakness was most apparent among steel producers as AK Steel (AKS 5.02, -0.20), Cliffs Natural Resources (CLF 33.68, -2.16), and United States Steel (X 18.78, -0.67) dipped between 3.4% and 6.0%. The negative construction spending data weighed on steelmakers despite two prominent producers reaching labor deals with union workers. United States Steel has reached a tentative agreement with United Steelworkers on a three year contract while Cliffs Natural Resources agreed to a short-term labor contract extension while negotiations continue.

Coal stocks were under heavy pressure after analysts at Dahlman Rose downgraded Peabody Energy (BTU 20.90, -0.73), Alpha Natural Resources (ANR 5.53, -0.41), and Walter Energy (WLT 30.73, -1.97) from ‘buy' to ‘hold.' The three names were down between 3.0% and 7.0% following the downgrades. The weakness spilled over to other coal names such as Arch Coal (ACI 5.79, -0.32), which slumped 5.2%. Elsewhere, CONSOL Energy (CNX 28.83, -1.37) slipped 4.5% as it moved with peers and on the news it will temporarily idle its Buchanan Mine in southwestern Virginia.

Three Nasdaq components were on the move following new analyst comments. Graphic chip producer, NVIDIA (NVDA 13.27, -0.75) slid 5.4% after being downgraded from ‘equal weight' to ‘underweight' by Evercore. In addition, Susquehanna downgraded NVIDIA from ‘positive' to ‘neutral.' Meanwhile, GameStop (GME 20.41, +1.33) ended higher by 7.0% following a Goldman Sachs upgrade from ‘neutral' to ‘buy.' Elsewhere, TiVo (TIVO 9.54, +0.45) advanced 5.0% after JP Morgan upgraded the stock from ‘neutral' to ‘overweight.'

Netflix (NFLX 55.93, -3.79) fell 6.4% after Amazon (AMZN 247.88, -0.39) announced a new Prime instant video agreement with Epix. The agreement is expected to increase competition in online video streaming as it takes aim at the core business of Netflix.

Shares of major financials were mixed as most listings traded in-line with the broader market. However, a handful of names outperformed. Morgan Stanley (MS 15.51, +0.51) gained 3.4% after being upgraded by JP Morgan and Credit Agricole. In addition, Goldman Sachs (GS 106.41, +0.69) tacked on 0.7% despite being downgraded from ‘neutral' to ‘underweight' at JP Morgan.

Tomorrow's economic data includes the MBA Mortgage Index at 7:00 ET and both nonfarm productivity and unit labor costs which will be reported at 8:30 ET.DJ30 -54.90 NASDAQ +8.10 SP500 -1.64 NASDAQ Adv/Vol/Dec 1508/1.47 bln/954 NYSE Adv/Vol/Dec 1773/639.2 mln/1229

3:35 pm : Crude oil lost its overnight momentum and fell into negative territory as equity markets opened. The energy component plunged even further on weaker-than-expected manufacturing and construction spending data. It touched a pit session low of $94.97 per barrel and settled for a 1.2% loss at $95.34 per barrel.

Natural gas, on the other hand, came off its session low of $2.79 per MMBtu and climbed into positive territory moments after floor trade opened. It advanced to a session high of $2.89 per MMBtu in early morning action and spent the remainder of the session chopping around just below that level. Natural gas eventually settled 2.1% higher at $2.86 per MMBtu. Precious metals extended last week's gains in today's pit trade.

Gold brushed a session low of $1690.10 per ounce moments after equity markets opened but broke above the $1700.00 per ounce mark following the U.S. economic data mentioned above. The yellow metal peaked at $1701.60 per ounce and then slightly pulled-back. Even with a stronger dollar index, gold booked a 0.5% gain as it closed at $1696.10 per ounce.

Silver spent its morning floor session trading in a rather consolidative pattern and started inching higher in the last hour of floor trade. It finished 3.1% higher at $32.40 per ounce, just below its session high of $32.44 per ounce.DJ30 -23.46 NASDAQ +13.79 SP500 +1.64 NASDAQ Adv/Vol/Dec 1535/1223.3 mln/900 NYSE Adv/Vol/Dec 1840/404 mln/1148

3:05 pm : The market has seen a notable rebound over the past hour, with the Dow bouncing around 80 points and the S&P 500 regaining around 9 points. The S&P 500 and Nasdaq are in positive territory now while the Dow remains marginally negative.

The rebound has been broad-based. There doesn't appear to be any one catalyst responsible for the move, but we would note that today's lows corresponded with technical support levels (last week's lows, recent range lows), so once those levels held, the buying gained some momentum.DJ30 -28.50 NASDAQ +10.80 SP500 +0.62 NASDAQ Adv/Vol/Dec 1455/1.11 bln/987 NYSE Adv/Vol/Dec 1762/365.5 mln/1226

2:30 pm : Equities continue their slow push higher as the Nasdaq has entered positive territory. The S&P 500 is off by 0.2%.

Shares of major financials are mixed with the SPDR Financial Select Sector ETF (XLF 15.14, -0.02) lower by 0.1%. As most listings trade in-line with the broader market, a handful of names are outperforming. Morgan Stanley (MS 15.37, +0.37) is firmer by 2.5% after being upgraded by JP Morgan and Credit Agricole. In addition, Goldman Sachs (GS 106.38, +0.66) is up 0.6% despite being downgraded from ‘neutral' to ‘underweight' at JP Morgan.DJ30 -45.69 NASDAQ +3.57 SP500 -2.05 NASDAQ Adv/Vol/Dec 1284/990.1 mln/1140 NYSE Adv/Vol/Dec 1565/324.8 mln/1402

2:00 pm : The S&P 500 continues to hover near the 1,400 level as the Nasdaq outperforms, down 0.3%.

Three Nasdaq components are on the move following new analyst comments. Graphic chip producer, NVIDIA (NVDA 13.25, -0.78) is sliding 5.6% after being downgraded from ‘equal weight' to ‘underweight' by Evercore. In addition, Susquehanna downgraded NVIDIA from ‘positive' to ‘neutral.' Meanwhile, GameStop (GME 20.00, +0.92) is up 4.8% following a Goldman Sachs upgrade from ‘neutral' to ‘buy.' Elsewhere, TiVo (TIVO 9.44, +0.35) is higher by 3.9% after JP Morgan upgraded the stock from ‘neutral' to ‘overweight.'DJ30 -81.93 NASDAQ -9.26 SP500 -6.24 NASDAQ Adv/Vol/Dec 1040/900.5 mln/1358 NYSE Adv/Vol/Dec 1292/294.3 mln/1655

1:30 pm : Equities are slowly lifting off session lows with the S&P 500 down 0.4%.

Solar energy stocks are broadly lower with the Guggenheim Solar ETF (TAN 16.18, -0.53) down 3.2%. The declines do not appear to be news-driven as most names post comparable losses. Trina Solar (TSL 4.23, -0.28), SunPower (SPWR 4.21, -0.26), and First Solar (FSLR 18.95, -1.04) are all down between 5.0% and 6.5%. Meanwhile, SolarWinds (SWI 57.72, +2.84) is up 5.1% as the stock is able to buck the bearish trend of its peers and mark a fresh all-time high instead.DJ30 -78.75 NASDAQ -9.37 SP500 -5.83 NASDAQ Adv/Vol/Dec 1004/838.1 mln/1398 NYSE Adv/Vol/Dec 1277/272.7 mln/1651

1:00 pm : Stocks opened near the unchanged line before falling further into the red after two economic data points were reported below expectations. The August ISM Index was reported at 49.6 versus the 50.0 Briefing.com consensus, while July construction spending fell 0.9% month-over-month, against the expected increase of 0.5%. At midday, the S&P 500 is down 0.5% as it trades at 1,399.

The materials sector is the day's worst performer after the disappointing July construction spending data. The group weakness is most apparent among steel producers as Cliffs Natural Resources (CLF 34.11, -1.73), AM Castle (CAS 12.66, -0.37), and AK Steel (AKS 5.01, -0.21) are all down near 4.0%. The negative construction spending data has weighed on steelmakers despite two prominent producers reaching labor deals with union workers. United States Steel (X 18.76, -0.69) has reached a tentative agreement with United Steelworkers on a three year contract while Cliffs Natural Resources agreed to a short-term labor contract extension while negotiations continue.

The telecom sector is up 0.6% as Cincinnati Bell (CBB 4.99, +0.30) is surging 6.5% after Raymond James upgraded the stock from ‘outperform' to ‘strong buy.' Elsewhere in the sector, shares of Verizon (VZ 43.43, +0.49) trade higher by 1.2% after the company announced recent activation of its 4G LTE network coverage in Binghamton and Catskill, New York. Other names like CenturyLink (CTL 42.67, +0.41) and Windstream (WIN 9.97, +0.10) are up near 1.0% as investors rotate into safer, higher-yielding stocks.

Coal stocks are under heavy pressure after analysts at Dahlman Rose downgraded Peabody Energy (BTU 20.85, -0.78), Alpha Natural Resources (ANR 5.49, -0.45), and Walter Energy (WLT 30.87, -1.83) from ‘buy' to ‘hold.' The three names are down between 3.5% and 8.0% following the downgrade. The weakness is spilling over to other coal names with Arch Coal (ACI 5.66, -0.44) slumping 7.2%. Elsewhere, CONSOL Energy (CNX 28.95, -1.25) is lower by 4.2% as it moves with peers and on the news it will temporarily idle its Buchanan Mine in southwestern Virginia.

Netflix (NFLX 55.68, -4.04) is sliding 6.8% after Amazon (AMZN 245.25, -3.02) announced a new Prime instant video agreement with EPIX. The agreement is expected to increase competition in online video streaming as it takes aim at the core business of Netflix.

In M&A news, NTS Realty Holdings (NLP 4.72, +1.65) is higher by 53.8% after receiving a proposal from its founder and Chairman for a going private transaction at $5.25 per share. Elsewhere, Heckmann Corporation (HEK 3.40, +0.71) is up 26.4% after agreeing to merge with North Dakota-based Power Fuels. Terms of the agreement call for Heckmann to pay $125 million in cash and 95 million shares of common stock while assuming $150 million of Power Fuels' debt.DJ30 -80.26 NASDAQ -12.42 SP500 -6.47 NASDAQ Adv/Vol/Dec 914/779.6 mln/1475 NYSE Adv/Vol/Dec 1219/255.1 mln/1711

12:30 pm : Equities continue to trade near session lows as the S&P 500 is down 0.6%.

The telecom sector is managing to stay positive as Cincinnati Bell (CBB 5.00, +0.31) is surging 6.7% after Raymond James upgraded the stock from ‘outperform' to ‘strong buy.' Elsewhere in the sector, shares of Verizon (VZ 43.45, +0.51) trade higher by 1.2% after the company announced recent activation of its 4G LTE network coverage in Binghamton and Catskill, New York. Dividend names like CenturyLink (CTL 42.71, +0.45) and Windstream (WIN 9.97, +0.10) are up near 1.0% as investors rotate into safer, higher-yielding stocks.DJ30 -92.38 NASDAQ -18.68 SP500 -8.06 NASDAQ Adv/Vol/Dec 816/709.1 mln/1548 NYSE Adv/Vol/Dec 1076/234.3 mln/1826

12:00 pm : Stocks remain near their session lows as the Dow trades lower by 0.7%.

The materials sector is showing weakness after July construction spending decreased by 0.9%. The group underperformance is most apparent among steel producers as Cliffs Natural Resources (CLF 34.15, -1.67), AM Castle (CAS 12.53, -0.50), and AK Steel (AKS 5.04, -0.18) are all down near 4.0%. The negative construction spending data weighs on steelmakers despite two prominent producers reaching labor deals with union workers. United States Steel (X 18.94, -0.51) has reached tentative agreement with United Steelworkers on a 3-year contract while Cliffs Natural Resources has agreed to a short-term labor contract extension while negotiations continue.DJ30 -91.41 NASDAQ -17.37 SP500 -7.19 NASDAQ Adv/Vol/Dec 808/642.5 mln/1540 NYSE Adv/Vol/Dec 1088/213.1 mln/1801

11:30 am : As European markets close near session lows, U.S. equities continue to hover near the bottom of the day's range. The Dow and Nasdaq are underperforming, down 0.7%.

Two consumer names are seeing above-average volume after reporting earnings. Campbell Soup (CPB 35.07, -0.07) is down 0.2% despite beating on earnings and revenues. The company issued in-line full-year 2013 guidance with expected earnings between $2.51 and $2.57. The stock was up as much as 2.7% before succumbing to broader market weakness. Meanwhile, Smithfield Foods (SFD 19.41, +0.09) is higher by 0.5% despite missing on earnings and revenues. The disappointing quarter was attributed to an operating loss in the company's fresh pork division which experienced a supply glut along with sagging domestic demand.DJ30 -89.35 NASDAQ -20.67 SP500 -7.21 NASDAQ Adv/Vol/Dec 771/551.2 mln/1537 NYSE Adv/Vol/Dec 1071/190.1 mln/1776

11:00 am : Stocks are near their session lows as the S&P 500 trades lower by 0.7%.

Coal stocks are under heavy pressure after analysts at Dahlman Rose downgraded Peabody Energy (BTU 20.74, -0.89), Alpha Natural Resources (ANR 5.51, -0.42), and Walter Energy (WLT 30.70, -2.00) from ‘buy' to ‘hold.' The three names are down between 4.0% and 7.0% following the downgrade. The weakness is spilling over to other coal names with Arch Coal (ACI 5.75, -0.36) slumping 5.9%. Elsewhere, CONSOL Energy (CNX 28.70, -1.50) is lower by 5.0% as it moves with peers and on the news it will temporarily idle its Buchanan Mine in southwestern Virginia.DJ30 -108.10 NASDAQ -25.60 SP500 -9.35 NASDAQ Adv/Vol/Dec 728/460.8 mln/1545 NYSE Adv/Vol/Dec 982/165.2 mln/1853

10:35 am : We are seeing some action in the energy and precious complex with natural gas and silver showing nice gains, while oil is lower and now near its session low.

The dollar index has been trending higher in today's session and currently showing a modest gain. Despite the trend higher, gold and silver have been trading higher as well. Dec gold is now trading +0.6 at $1698.00/oz, just off its new HoD of $1701.60 that was just hit. Dec silver is notably higher this morning with 2.2% in gains, now at $32.12/oz.

In the energy space, Oct crude oil has been selling off notably and just hit a new session low. From its overnight session high of $97.37, crude has pulled back over $2/barrel. In current trade, crude oil is now -1.2% at $95.27/barrel. Oct natural gas futures gained steam around 9am EST and have since rallied about 3.6% and is now +2.7% at $2.587/MMBtu.DJ30 -96.11 NASDAQ -17.73 SP500 -7.97 NASDAQ Adv/Vol/Dec 741/338.6 mln/1501 NYSE Adv/Vol/Dec 918/132 mln/1893

10:05 am : The August ISM Index came in worse than expected at 49.6 versus the 50.0 Briefing.com consensus, and down slightly from July's 49.8 reading. Meanwhile, July construction spending fell 0.9% month-over-month, against the expected increase of 0.5%.

Equities ticked down while gold and the euro turned higher following the release.DJ30 -26.02 NASDAQ -1.22 SP500 -1.64 NASDAQ Adv/Vol/Dec 1039/210.1 mln/1130 NYSE Adv/Vol/Dec 1258/92.6 mln/1464

09:45 am : Equities are marking fresh session lows as the Dow underperforms, down 0.3%.

Looking at the early sector performance, consumer staples lead the way, up 0.3%. On the downside, industrials and material stocks are lower by 0.8% and 0.6%, respectively.

Netflix (NFLX 53.76, -5.96) is sliding 9.8% after Amazon (AMZN 249.39, +1.11) announced a new Prime instant video agreement with EPIX. The agreement is expected to increase competition in online video streaming as it takes aim at the core business of Netflix.

The August ISM Index and July construction spending will be reported at 10:00 ET.DJ30 -26.48 NASDAQ -4.74 SP500 -1.71 NASDAQ Adv/Vol/Dec 949/134.2 mln/1143 NYSE Adv/Vol/Dec 1242/71.6 mln/1434

09:15 am : [BRIEFING.COM] S&P futures vs fair value: -0.30. Nasdaq futures vs fair value: -1.80. Heading into the open, futures continue signaling a flat start to the session.

Two names within the healthcare space are posting notable advances in pre-market. StemCells (STEM 2.60, +0.43) is surging 19.8% after reporting positive interim data from its spinal cord injury trial. Meanwhile, Questcor Pharmaceuticals (QCOR 47.10, +3.66) is higher by 8.4% after providing an update regarding the company's Medicaid rebate position which is expected to have a positive impact on Questcor's bottom line.

Today's economic data includes the August ISM Index and July construction spending which will be reported at 10:00 ET. In addition, August auto and truck sales will be released at 14:00 ET.

08:59 am : [BRIEFING.COM] S&P futures vs fair value: -1.20. Nasdaq futures vs fair value: -1.80. Equity futures are mixed as they point to a flat open.

In M&A news, NTS Realty Holdings (NLP 4.93, +1.86) is higher by 60.6% after receiving a proposal from its founder and Chairman for a going private transaction at $5.25 per share. Elsewhere, Heckmann Corporation (HEK 3.22, +0.53) is up 19.7% after agreeing to merge with North Dakota-based Power Fuels. Terms of the agreement call for Heckmann to pay $125 million in cash and 95 million shares of common stock while assuming $150 million of Power Fuels' debt.

08:35 am : S&P futures vs fair value: -1.20. Nasdaq futures vs fair value: -2.30. U.S. equity futures continue to hover just beneath the unchanged line as they point to a flattish open.

The European markets are lower this morning after PMI readings out of Germany, France, and Italy all came in under the preliminary figures. Meanwhile, Spanish and British PMI exceeded expectations. Moody's contributed to the bearish sentiment in the area by cutting its outlook on the EU region to ‘negative' from ‘stable' in a move which clouds the outlook for the region's only AAA sovereign nations (Germany, UK, France and Netherlands). Elsewhere, Switzerland's second quarter GDP contracted by 0.1% quarter-over-quarter.

Rumors continue swirling around the Eurozone as the latest leaked reports suggest that European Central Bank President Mario Draghi would be comfortable buying bonds with maturities of up to three years. This comes ahead of the next European Central Bank rate decision on Thursday. Spain's 10-yr benchmark yield has slipped 21 basis points to 6.647% and the IBEX is a notable outperformer, trading up 1.2%.

In the UK, the FTSE is down by 1.0% as mining stocks remain under pressure. Xstrata, Evraz and Rio Tinto are all down between 2.0% and 3.0%. The gains within the index are limited as financials Resolution and Old Mutual are both higher by 0.6%. Oil and gas producer Petrofac is the session's best performer, up 1.1%.

Germany's DAX is lower by 0.5% with carmakers showing broad weakness. Volkswagen trades lower by 3.2% as it leads the laggards. Meanwhile, BMW and Daimler are down between 2.0% and 3.0%. Mail delivery service Deutsche Post and financial Allianz lead the index, up 1.1% and 0.7%, respectively.

In France, the CAC has lifted off session lows but it remains off by 0.4%. Consumer names are lower as Carrefour and Sanofi are both down near 1.7%. On the upside, Veolia Environnement is higher by 3.2% after reports suggested French state-controlled rail and subway companies are showing interest in Veolia's transport division. Financial names are also outperforming with Societe Generale, AXA, BNP Paribas, and Credit Agricole all up between 0.5% and 1.0%.

The major Asian bourses finished mostly lower as markets remain on hold ahead of Thursday's European Central Bank meeting. Chinese data out over the weekend pointed to a continued slowdown in the middle kingdom as HSBC's PMI reading slumped to a three and a half year low of 47.6, and the official PMI reading touching a nine-month low of 49.2. The Reserve Bank of Australia opined overnight, and kept its benchmark interest rate unchanged at 3.50%. Other important data to emerge from the region over the holiday weekend showed India's trade deficit balloon to $15.5 billion while Japan's average cash earnings fell 1.2% year-over-year.

In Japan, the Nikkei shed 0.1% to finish at a one-month low. Oil explorer Inpex rose 0.9% following an upgrade at Barclays, and automaker Toyota slipped 0.3% after announcing a 15% decline in auto sales to China.

In Hong Kong, the Hang Seng finished lower by 0.7% as property developers paced the decline. Gemdale and Poly Real Estate fell 1.9% and 1.8% respectively as traders took profits following their recent gains. Aluminum maker Chalco shed 0.3% after announcing it has ended talks to buy Mongolian coal producer Gobi Resources.

China's Shanghai Composite slipped 0.8% with today's selling dropping the index to a three and a half year low. Financials were under pressure as China Construction Bank lost 2.0% and China Citic Bank slipped 1.6%. Elsewhere, brokerage stocks remained weak with Hong Yuan Securities falling 1.0%.

08:00 am : S&P futures vs fair value: +0.40. Nasdaq futures vs fair value: +1.50. After a long weekend, U.S. equity futures are pointing towards a flattish open.

World markets are generally lower this morning, though the opposite was true yesterday. Over the weekend, China released much worse than anticipated August PMI at 49.0 versus the expected reading of 50.0. Even though the data was contractionary, markets were bid up on speculation that this reading would be a catalyst for China to move on stimulus. Elsewhere in the region, the Reserve Bank of Australia left its key interest rate unchanged at 3.5%, reiterating its moderate China growth outlook and keeping some powder dry as many of its natural resource prices have fallen.

In Europe, PMI readings out of Germany, France, and Italy all came in under the preliminary figures, while Spanish and British PMI exceeded expectations. Moody's contributed to the bearish sentiment in the area by cutting its outlook on the EU region to ‘Negative' from ‘Stable.' This move clouds the outlook for the region's only AAA sovereign nations: Germany, UK, France and Netherlands. Meanwhile, Switzerland's second quarter GDP contracted by 0.1% quarter-over-quarter. Rumors continue swirling around the Eurozone as latest leaked reports suggest that European Central Bank President Mario Draghi would be comfortable buying bonds with maturities of up to 3 years. This comes ahead of the next ECB rate decision on Thursday. Nearing midday, the UK's FTSE is down 1.0%, while France's CAC is lower by 0.5% and Germany's DAX is off by 0.4%. Spain's 10-yr benchmark yield has slipped 21 basis points to 6.647% and the IBEX is a notable outperformer, trading up 1.2%.

Although U.S. futures hover near the unchanged line, several stocks are moving on news.

Medicis (MRX 43.50, +11.94) is surging by 37.8% after being acquired by Valeant Pharmaceuticals (VRX 55.25, +3.98). Valeant will pay $44.00 per share of Medicis in a transaction which will total $2.6 billion. The $44.00 per share price represents a 39.0% premium to Medicis' Friday closing price of $31.56.

Morgan Stanley (MS 15.33, +0.33) is higher by 2.2% after JP Morgan upgraded the stock from ‘neutral' to ‘overweight.'

Smithfield Foods (SFD 18.85, -0.47) is down 2.4% after reporting disappointing earnings.

The August ISM Index and July construction spending will be reported at 10:00 ET. In addition, August auto and truck sales will be released at 14:00 ET. As a reminder, the latest jobs report, including the unemployment rate, will be delivered on Friday at 8:30 ET.

06:21 am : [BRIEFING.COM] S&P futures vs fair value: +1.50. Nasdaq futures vs fair value: +6.50.

06:21 am : Nikkei...8775.51...-8.40...-0.10%. Hang Seng...19429.91...-129.30...-0.70%.

06:21 am : FTSE...5718.28...-40.10...-0.70%. DAX...7002.86...-12.00...-0.20%.

Special thanks to Bloomberg, CNNMoney, Reuters 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 and http://stocktwits.com/wrbtrader

http://www.thestrategylab.com
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 Bookmark and Share  [ 1 post ] 

All times are UTC - 5 hours


Who is online

Users browsing this forum: No registered users and 1 guest


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