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 Post subject: August 19th Monday Trade Results - Profit $2272.50
PostPosted: Mon Aug 19, 2013 10:00 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)
Phone: +1 708 572-4885
Free Chat Room: http://www.thestrategylab.com/tsl/forum/viewforum.php?f=164
Business Hours: 8am - 5pm est (Mon - Fri)
questions@thestrategylab.com (24/7)
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click on the above image to view today's performance verification

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $0.00 dollars or +0.00 points, Emini ES ($ES_F) futures @ $1812.50 dollars or +36.25 points, Light Crude Oil CL ($CL_F) futures @ $0.00 dollars or +0.00 points, Gold GC ($GC_F) futures @ $460.00 dollars or +4.60 points and EuroFX 6E ($6E_F) futures @ $0.00 dollars or +0.0000 ticks. Total Profit @ $2272.50 dollars.

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
Light Crude Oil CL (WTI) Futures: 1 tick or 0.01 = $10.00 dollars and there's more contract information @ CMEGroup
Gold GC Futures: 1 tick or 0.10 = $10.00 dollars and there's more contract information @ CMEGroup
EuroFX 6E Futures: 1 tick or 0.0001 = $12.50 dollars and there's more contract information @ CMEGroup

In addition, all of my trades were posted real-time in the chat room. You can read today's chat room logs for details about each one of my trades via price action trading from entry to exit (e.g. time, price, contract size) along with price action commentary as the trade traversed to its completion...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=120&t=1582

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). I'm primarily a day trader because it suits my personal lifestyle but I do occasionally swing trade and position trade. Simply, my trade method is applicable for position trading, swing trading and day trading.

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=216&t=1913

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Market Context 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 in many trading instruments I monitor during the trading day. 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, intermarket analysis (e.g. Forex EurUsd, EuroFX 6E futures, Gold GC futures, Light Crude Oil (WTI) CL & Brent Oil futures, Eurex DAX futures, Euronext FTSE100 futures, Emini ES futures, Emini TF futures, Treasury ZB futures and U.S. Dollar Index futures) while using WRB Analysis from one trade to the next trade to give me the market context for price action trading 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 trade decisions (day trading, swing trading, position trading)...something I can not get from my broker statements alone.

Bond Bubble Finally Bursting? Rates Creep Up

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

NEW YORK (CNNMoney)
U.S. stocks ended down for a fourth straight day Monday. But bonds were the real story, as yields continued to creep higher amid chatter that the Federal Reserve could begin winding down its stimulus sooner rather than later.

Worries that the central bank could taper its $85 billion a month in bond purchases, or quantitative easing, as early as September has spurred a huge sell-off in bonds.

Investors have yanked nearly $20 billion from bond mutual funds and exchange traded funds so far in August. That's the fourth highest pullback ever, according to TrimTabs data. In June, investors took out $69.1 billion -- the highest on record.

The heavy selling has pushed long-term bond rates to two-year highs, with the benchmark 10-year Treasury yield nearing 3%.

"As much as bond professionals say they've never really liked QE, they're trading as though they miss it already," said Jim Vogel, interest rate strategist at FTN Financial.

The Fed will remain in focus this week as investors look ahead to Wednesday. That's when the Fed releases minutes from its last monetary policy meeting. The Kansas City Fed also hosts its annual conference in Jackson Hole, Wyo. later this week.

Concerns about the Fed tapering have hit stocks as well. The Dow Jones industrial average the S&P 500 and the Nasdaq have dropped for two consecutive weeks.

With no economic data or significant earnings reports Monday, the Dow and S&P finished lower and experienced their first four-day slide of the year. The Nasdaq also ended the day in the red.

What's moving: Shares of Chesapeake Energy (CHK, Fortune 500) initially rose following news that Carl Icahn boosted his stake in the natural gas company to almost 10%. But the stock headed lower by the end of the day.

Apple, (AAPL, Fortune 500) which Icahn announced a "large" position in last week, continued to climb, hitting the highest level in seven months. And the stock was the hottest topic among traders on StockTwits.

FUNERALMAN21: $AAPL shorts and profit takers get your hats, get your coats, and go home I'm 100% sure this stock will be bigger then anyone has predicted.

daytradingshrink: $AAPL todays theme song has gotta be stairway to heaven. really thought it would break this intraday uptrend and move sideways. strong!

Of course not everyone was so bullish.

rmbagadiya: $AAPL Running too much too fast I am concerned

There was also plenty of chatter about Intel (INTC, Fortune 500), which was upgraded to "neutral" by analysts at Piper Jaffray.

alexsimonelis: $INTC Those are not dinosaurs in the least. What do you think the cloud runs on? Answer: Intel chips.

Shares of several Chinese companies were flying high and generating buzz on StockTwits as well. AutoNavi Holdings (AMAP), in which Chinese e-commerce leader Alibaba recently purchased a stake, rose 8%. Search engine Qihoo 360 Technology (QIHU), Chinese real estate website SouFun Holdings (SFUN) and social network YY (YY) also finished sharply higher.

ivanhoff: Momo money has gone on vacation in China: $AMAP $QIHU $SFUN $YY etc.

UltraGwenn: $QIHU on the weekly, this is the most overbought stock i've ever seen in my life. rivals Google and Apple back in 2012. Bearish.

* J.C. Penney still in a world of trouble

The earnings calendar was light Monday, but results are due from J.C. Penney (JCP, Fortune 500), Best Buy (BBY, Fortune 500) and Home Depot (HD, Fortune 500) on Tuesday. Targe (TGT, Fortune 500)t and Hewlett-Packar (HPQ, Fortune 500)d are also set to report later in the week.

World markets: European markets closed slightly lower, while Asian markets ended with mixed results. Both the Shanghai Composite index and Japan's Nikkei rose nearly 1%. Stocks in Hong Kong declined by 0.3%. And investors are also nervously watching India, where stocks have plunged lately as the country's rupee currency hit an all-time low.

U.S. Stocks End Lower; Yields Hit 2-Year Highs

By William L. Watts, MarketWatch

NEW YORK (MarketWatch) — U.S. stocks dropped on Monday after a choppy trading session, with the energy and financial sectors leading the S&P 500 lower, as Treasury yields hit fresh two-year highs.

The Dow Jones Industrial Average (DJI:DJIA) fell 70.73 points, or 0.5%, to end at 15,010.74, with 23 of its 30 components ending in negative territory.

The S&P 500 (SNC:SPX) declined 9.77 points, or 0.6%, to 1,646.06.

This was the fourth consecutive session of declines for both the Dow industrials and the S&P 500, marking the longest losing streak since Dec. 28, 2012, when the market fell for five straight trading days.

More than 640 million shares traded on the New York Stock Exchange and composite volume topped 2.8 billion. The Nasdaq Composite (NASDAQ:COMP) fell 13.69 points, or 0.4%, to 3,589.09.

* Video - Markets pricing in end of bond buys

Paul Vigna joins the News Hub with a look at today's market action, including three stocks to watch. Photo: Getty Images.

“It feels like interest rates have probably overshot to the upside,” with the yield on the 10-year note likely headed toward the 3% level, said Randy Frederick, managing director of active trading and derivatives at the Schwab Center for Financial Research in Austin, Texas. Read: 3 reasons to be bullish on stocks and 3 reasons to be bearish.

Treasury yields continued to push higher, exploring territory last seen in July 2011. The yield on the 10-year Treasury note (ICAPSD:10_YEAR) rose seven basis points, or 0.07 percentage point, to 2.89%.

Rising yields can undercut stocks due to fears that higher borrowing costs will slow economic activity. Yields have been on the rise since this spring, when Federal Reserve Chairman Ben Bernanke indicated the Fed could begin scaling back its $85 billion-a-month bond-buying plan later this year.

While stocks recovered from a June pullback fueled by concerns over the Fed’s plans, markets stumbled last week as Treasury yields continued to rise.

Stocks fell Friday, leaving the Dow with its biggest weekly percentage drop and point loss of 2013, while the S&P 500 saw its biggest weekly point loss.

Analysts are debating whether a decision by the Fed to begin scaling back its bond-buying program should be viewed as a negative factor for stocks.

“I happen to be in the camp that thinks good news is, in fact, good news and that investors are overreacting to the prospect of tapering,” said Jerry Webman, chief economist at Oppenheimer Funds, in a note to clients.

In fact, market expectations that the Fed will begin to cut back its purchases may have grown so strong that failure to act soon could be a bigger negative for stocks, because it would raise questions about the underlying strength of the economy, he said.

Schwab’s Frederick, however, argued that prospects for a data-inspired Fed tapering combined with a range of other potentially negative factors, including renewed budget strains and further fiscal tightening due to the sequester, set the stage for further stock weakness. He sees scope for a retest of the June lows. A failure to taper in September, while not likely, would probably spark a relief rally in equities, he said.

With no major economic data due on Monday, investors are looking ahead to the release Wednesday of the minutes of the latest meeting of Fed policy makers, as well as the Kansas City Federal Reserve’s annual retreat in Jackson Hole, Wyo., at the end of the week.

Bernanke, however, won’t be attending, likely undercutting its influence, and leaving investors to obsess all the more over yields.

Meanwhile, the minutes of the Federal Open Market Committee’s July 30-31 meeting will be released at 2 p.m. Eastern on Wednesday. The summary will be scanned for information on how many policy makers were prepared to slow asset purchases, economists said.

It is a light week for economic data, with July existing-home sales due on Wednesday and new-home-sales figures set for release on Friday. Weekly jobless claims on Thursday could also sway markets after a larger-than-expected drop in first-time applications for benefits reported last week.
Intel gains

Shares of Intel Corp. (NASDAQ:INTC) rose 1.7%, making it the biggest gainer on the Dow. The rise came after Piper Jaffray analyst Auguste Gus Richard raised the stock’s rating to neutral from underweight, citing potential gains from the corporate market and the coming release of Windows 8.1.

Facebook Inc. (NASDAQ:FB) shares rose 2% to $37.81 after Evercore Partners analyst Ken Sena raised his price target to $45 from $34.

Shares of Apple Inc. (NASDAQ:AAPL) maintained upside momentum after the company posted its strongest weekly performance since October 2011 last week after Carl Icahn trumpeted the company’s merits on Twitter. Apple shares rose 1.1% on Monday.

Dollar General Corp. (NYSE:DG) rose 3.1%, turning in the strongest performance in the S&P 500. J.P. Morgan analysts raised the stock to overweight from neutral, citing a “sustainable mid-teens-plus [earnings per share] compounding-growth story unfolding.” See: Monday's Movers.

J.P. Morgan Chase & Co. (NYSE:JPM) fell 2.7%, making it the largest loser in the Dow. News reports said U.S. regulators are looking into the bank’s hiring practices in China.

Cliffs Natural Resources Inc. (NYSE:CLF) dropped nearly 5%, making it the biggest loser in the S&P 500. The decline comes after a nearly 4% drop on Friday.

In other markets, Asian stocks closed mostly lower, while European stocks traded with modest but broad-based losses.

Gold futures dropped $5.30, or 0.4%, to settle at $1,365.70 an ounce on the Comex division of the New York Mercantile Exchange.

Oil prices ended slightly lower, while the dollar traded mixed against other major currencies. The Indian rupee, meanwhile, made headlines as it sank to an all-time low versus the dollar as efforts by the Indian government to stem panic selling failed to do the trick.

Image



4:25 pm : Today marked the beginning of a new week for the stock market, yet the story played out much the same way it did last week. Long-term rates continued to rise, the stock market continued to sink, and trading volume remained light.

The major averages were mixed and little changed for much of the session, but they broke down in late trading as the technology sector gave up its leadership post and other sectors bowed to selling interest.

There wasn't a specific news catalyst for the late-day breakdown, which led some to conclude it was a function of technical factors at work. Whatever one's view is, it was especially clear today that, outside of some specific stocks, buyers didn't want much to do with the market.

The stocks that benefited were familiar names like Boeing (BA 104.72, +1.25), Johnson & Johnson (JNJ 90.45, +1.08), Google (GOOG 868.65, +8.74), and Apple (AAPL 507.74, +5.41). Intel (INTC 22.28, +0.37) also found itself on the relative strength list following a Piper Jaffray upgrade to Neutral from Underweight and a positive mention in Barron's.

There wasn't a lot of corporate news to chew on today nor were there any economic releases in the US to digest. That helped explain why volume was light with just 640 mln shares trading at the NYSE.

Some distress in emerging markets, namely Indonesia where the Jakarta Composite declined 5.6%, proved to be a deterrent for participants along with the understanding that the minutes for the July 30-31 FOMC meeting will be released on Wednesday while the Kansas City Fed's Jackson Hole Symposium will get underway on Thursday.

Some anxiousness about what might be heard in the minutes and at the symposium kept pressure on the benchmark 10-yr note whose high yield today stopped just short of 2.90% before settling at 2.88%. The latter is up 30 basis points from the start of last week. The move is seen by some as the market discounting the prospect of a tapering announcement at the September 17-18 FOMC meeting, yet some rumblings are starting to be heard that it might also reflect concern that the Fed has lost control of things.

Undoubtedly, the path long-term interest rates take will be key in determining whether the stock market is going to continue to trade lower or whether it is going to show the buy-the-dip moxie it has been known for since the March 2009 lows.

The rate-sensitive financial sector (-1.3%) was a notable laggard all day and a major drag on the broader market along with the energy sector (-1.5%). The latter got clipped by yet another day of losses for ExxonMobil (XOM 86.92, -0.99), which declined for the 18th time in the last 20 sessions. The financial sector was hurt by a report JPMorgan Chase (JPM 51.83, -1.46) is being investigated for its hiring practices in China and a Wall Street Journal article suggesting the sector could fall out of favor in the wake of a tapering decision.

Other rate-sensitive areas like the high dividend-yielding utilities (-0.8%) and telecom services (-0.8%) sectors also underperformed the market. The home building stocks were among the weakest performers today with losses ranging between 3-5%. The iShares US Home Construction ETF (ITB 20.68, -0.67) fell 3.1%.

On the flip side, volatility was a notable area of strength. The CBOE Volatility Index (VIX 15.18, +0.81) surged 5.6% and is now up 28% over the last two weeks. Over the same period the S&P 500 has declined 3.6%.

There are no economic releases out of the US on Tuesday, so the market will be fixated early on the performance of foreign markets, the direction of interest rates, and the earnings results and guidance from Home Depot (HD 75.21, -0.17), Best Buy (BBY 30.73, +0.36), J.C. Penney (JCP 13.22, -0.18) and TJX Cos. (TJX 50.75, +0.27).

[Note: a prior version indicated China is investigating JPMorgan Chase for its hiring practices when it should have read JPMorgan Chase is being investigated for its hiring practices in China. The comment has been edited to correct that error] DJ30 -70.73 NASDAQ -13.69 SP500 -9.77 NASDAQ Adv/Vol/Dec 761/1.39 bln/1777 NYSE Adv/Vol/Dec 580/640 mln/2502

3:30 pm : Sep crude oil fell for the first time in seven sessions, dipping as low as $106.56 per barrel. The energy component briefly climbed into positive territory to a session high of $107.80 per barrel but reversed back into the red. It settled 0.4% lower at $107.07 per barrel.

Natural gas, on the other hand, rose to a session high of $3.50 per MMBtu. Despite slightly pulling-back, it booked a 2.7% gain as it closed at $3.46 per MMBtu.

Dec gold fell for the first time in four sessions as it retreated from a session high of $1375.00 per ounce set in early morning pit trade. It dipped to a session low of $1362.00 per ounce and settled with a 0.4% loss at $1365.80 per ounce.

Sep silver spent all of today's pit trade in the red, falling as low as $22.95 per ounce. It eventually settled 0.6 % lower at $23.17 per ounce.DJ30 -48.36 NASDAQ -6.46 SP500 -7.07 NASDAQ Adv/Vol/Dec 908/1132.2 mln/1599 NYSE Adv/Vol/Dec 655/415 mln/2406

3:00 pm : Entering the final hour of what has been a thin trade, the broader market is fighting to stay above its low for the session. To be sure, it hasn't gotten any help from the Treasury market today where long-term rates have continued to rise. The yield on the benchmark 10-yr note currently sits at 2.89% while the yield on the 30-yr bond has climbed to 3.91%.

Strikingly, the Nasdaq is now 18 points off its highs of the day as the sponsorship from its larger components has dwindled to a handful of components.

The financial (-0.9%) and energy (-1.3%) sectors continue to remain pinned to the mat as they have been pretty much ignored by buyers. Their weakness has been the biggest drag on the broader market.DJ30 -39.05 NASDAQ +2.35 SP500 -5.33 NASDAQ Adv/Vol/Dec 1019/1.0 bln/1488 NYSE Adv/Vol/Dec 706/370 mln/2319

2:30 pm : The tale of the tape remains the same as the major averages continue to have a mixed standing and continue to hold fairly close to the unchanged level. The Nasdaq leads the pack with a 0.2% gain while the Dow and S&P 500 are down 0.2% and 0.3%, respectively.

The disparate performances can be attributed in large part to the technology sector (+0.4%), which has given the Nasdaq an edge in today's trading thanks to Apple (AAPL 510.78, +8.44) and Google (GOOG 870.21, +13.30) which continue to attract buyers.

While those specific large-cap names are doing relatively well today, small-cap stocks in general are underperforming as evidenced by the Russell 2000, which is down 0.4%.DJ30 -35.80 NASDAQ +5.95 SP500 -4.88 NASDAQ Adv/Vol/Dec 1086/916 mln/1411 NYSE Adv/Vol/Dec 745/338 mln/2280

2:00 pm : A new session low (1649.98) for the S&P 500 was reached in the last half hour, but some buying support helped prevent a further slide. Even so, there are just two sectors now -- technology (+0.4%) and health care (+0.4%) -- that are trading higher for the day.

It is perhaps fitting in this period of uncertainty that those are the two leadership groups today given that one is a cyclical sector and the other is a countercyclical sector. In a sense then, there is a leadership hedge at the moment as participants ponder the near-term outlook for the stock market and the economy with interest rates going up.

Not all countercyclical sectors are being treated equally today, however. The high dividend-yielding utilities (-0.9%) and telecom services (-0.9%) sectors continue to backpedal in the face of rising interest rates that are creating added competition for investors seeking income.DJ30 -30.77 NASDAQ +10.25 SP500 -3.97 NASDAQ Adv/Vol/Dec 1144/846 mln/1343 NYSE Adv/Vol/Dec 782/309 mln/2227

1:30 pm : We said thirty minutes after the start of trading that we had a sense today could be one of those days where buyers and sellers alike show little conviction, where volume is light, and where narrow trading ranges persist. So far, the stock market has not disappointed in any of those respects.

At the moment, the S&P 500 is back near its lows of the session, which were established just after the opening bell.

The energy sector (-1.2%) has been a key drag on the broader market today with continued weakness in ExxonMobil (XOM 87.06, -0.85), which has lost ground in 17 of the previous 19 trading sessions, Chevron (CVX 118.84, -1.04) and ConocoPhillips (COP 66.36, -1.02) to name a few weighing on the sector.

Notwithstanding the worsening conflict in Egypt, Brent crude futures are down 0.4% today at $109.92 per barrel. DJ30 -28.26 NASDAQ +10.58 SP500 -3.64 NASDAQ Adv/Vol/Dec 1161/778 mln/1307 NYSE Adv/Vol/Dec 800/280 mln/2193

1:00 pm : There hasn't been a whole lot to explain with the stock market today. The news has been limited along with the conviction of buyers and sellers alike. The one item of interest has been (and continues to be) the move in long-term interest rates. On the defensive throughout the day, the 10-yr note hit new price lows for the day a short time ago, pushing its yield up to 2.89%.

The backup in rates has undoubtedly been a limiting factor for the broader equity market today, which has been unable to sustain recovery efforts despite a relatively strong showing from the technology sector and some of its largest components like Intel (INTC 22.46, +0.55), Apple (AAPL 513.02, +10.69), Google (GOOG 871.00, +14.09), and Amazon.com (AMZN 288.68, +3.86).

The financial sector has been a roadblock, though, as it has been weak since the opening bell, pressured by a report that JPMorgan Chase (JPM 52.16, -1.13) is being investigated for its hiring practices in China, an article in The Wall Street Journal suggesting a Fed taper could cool down the hot sector, and the jump in interest rates.

Other rate-sensitive areas like the homebuilding and utilities stocks have also been under pressure.

Participants are also contending with worries about the emerging markets as currency weakness in India and Indonesia, and rising interest rates in the US, have taken a heavy toll on their respective markets and others. On Monday, Indonesia's Jakarta Composite sank 5.6% as the rupiah hit a four-year low.

Notably, the CBOE Volatility Index (VIX 14.68, +0.31) has jumped 2.2% today; and it is up 24% over the last two weeks.

There hasn't been any economic data for the US today and there aren't any notable releases scheduled for tomorrow. That has left the market focusing on Wednesday's release of the latest Mortgage Applications Index, the Existing Home Sales report for July, and the minutes for the July 30-31 FOMC meeting.

The ongoing weakness in the Treasury market is seen predominately as a move that is pricing in the prospect of a tapering decision in September, although some rumblings and concerns are emerging that it might also be a reflection of concerns the Fed is losing control of the Treasury market.

Time will tell, but it sure does look like higher interest rates are keeping control of the stock market for the time being.

Volume is definitely light today with just 255 mln shares traded at the NYSE to this point. DJ30 +0.06 NASDAQ +14.97 SP500 -1.10 NASDAQ Adv/Vol/Dec 1234/720 mln/1223 NYSE Adv/Vol/Dec 884/255 mln/2088

12:30 pm : Long-term rates have continued to back up today and so far the broader equity market has tolerated the move. Still, things would be arguably better if the stock market did not have to contend today with the headwind of rising interest rates.

Not surprisingly, the areas where buyers have so far stayed away from today tend to be more rate-sensitive than others.

Homebuilders, financials, and utilities are all on the defensive. The homebuilders attracted some bargain hunting interest last week with many of the issues down 20-30% from their May peak. Today, Wells Fargo upgraded Pulte Home (PHM 15.96, -0.32) to Outperform from Market Perform, but it hasn't made a difference. Pulte and most of its peers are down between 1% and 3% today.


DJ30 -11.21 NASDAQ +14.33 SP500 -1.53 NASDAQ Adv/Vol/Dec 1240/651 mln/1206 NYSE Adv/Vol/Dec 944/231 mln/2023

12:00 pm : There are at least some buyers to be found in the stock market. So far, though, that doesn't appear to be the case in the Treasury market, which just can't find a bid.

The 10-yr note hit new lows for the session in terms of price a short time ago, sending its yield to 2.88%. The stock market is keeping a watchful eye on that move, but it is fair to say that it hasn't freaked out over the continued weakness in longer-dated Treasury securities.

The bump in rates has been an identifiable factor behind the drop in mortgage purchase and refinancing applications of late. The latest report on that front will be filed by the Mortgage Bankers Association on Wednesday. That is also the day when the Existing Home Sales report for July (Briefing.com consensus 5.10 mln; prior 5.08 mln) and the minutes for the July 30-31 FOMC meeting will be released. DJ30 -13.32 NASDAQ +14.58 SP500 -1.28 NASDAQ Adv/Vol/Dec 1261/587 mln/1164 NYSE Adv/Vol/Dec 933/210 mln/1999

11:30 am : No change in the overall tone of the stock market, which is mixed at the moment. The current state of affairs is best seen through the outperformance of the technology sector (+0.7%) and the underperformance of the financial sector (-0.8%). Those two sectors have the heaviest weighting in the S&P 500 and they are effectively cancelling each other out. The S&P 500 is down less than 0.1%.

Looking at the Dow Jones Industrial Average, which suffered its biggest weekly decline of the year last week, today's standouts include Boeing (BA 104.62, +1.15), Johnson & Johnson (JNJ 90.37, +1.00), and Home Depot (HD 76.39, +1.01). These are the only components that have moved up, or down, at least one point.

Home Depot is slated to report its quarterly results before the start of trading tomorrow. According to S&P Capital IQ, the home improvement retailer is expected to report a profit of $1.21 per share, versus $1.01 a year ago, on revenue of $21.79 bln. DJ30 -10.50 NASDAQ +17.38 SP500 -0.66 NASDAQ Adv/Vol/Dec 1256/508 mln/1127 NYSE Adv/Vol/Dec 954/184 mln/1938

10:55 am : The only constant so far today has been the strength of the Nasdaq. It has outperformed since the opening bell and currently sits at its best level of the day thanks to the leadership of its largest constituents.

Intel (INTC 22.62, +0.71) is among the standouts after being upgraded to Neutral from Underweight at Piper Jaffray and getting a positive mention in this week's Barron's. Notwithstanding Intel's strength, the Philadelphia Semiconductor Index (SOX 462.77, +0.31) is little changed at the moment.

Aside from Intel, Apple (AAPL 513.33, +11.00), Google (GOOG 869.47, +12.56), Amazon.com (AMZN 288.08, +3.26), and Cisco (CSCO 24.59, +0.32) are also making some waves that the Nasdaq has been surfing this morning.

The Dow and the S&P 500 have been a little more erratic in terms of their behavior, but both currently have their head above water as they are trying to get back on the board.DJ30 +14.51 NASDAQ +19.12 SP500 +1.38 NASDAQ Adv/Vol/Dec 1214/403 mln/1116 NYSE Adv/Vol/Dec 989/150 mln/1868

10:35 am : Commodities are mostly lower today with precious metals, copper, as well as other metals such as platinum, palladium, and crude oil all trading lower.

Crude oil was sliding lower during the overnight session and morning session and hit the recent LoD of $106.56/barrel about one minute after pit trading began. Natural gas, on the other hand, has been in positive territory today and just hit a new HoD of $3.50/MMBtu shortly after pit trading opened.

Crude oil is now -0.1% at $107.32/barrel, Sept natural gas is +3.7% at $3.49/MMBtu.

Precious metals slide lower this morning and both gold and silver hit new session lows a short while ago. Dec gold is now -0.4% at $1366.10/oz, while Sept silver is -1.1% at $23.07/oz. Sept copper is -1.0% at $3.33/lb. DJ30 -0.08 NASDAQ +15.91 SP500 +0.75 NASDAQ Adv/Vol/Dec 1174/316.3 mln/1123 NYSE Adv/Vol/Dec 970/124 mln/1871

10:00 am : The major averages are mixed and it pangs us to say we may be getting an early taste of how the rest of the day will unfold. That is, no real conviction on the part of buyers or sellers, light volume, and narrow trading ranges.

If there is going to be a difference maker in how the trading action unfolds, it could be the 10-yr Treasury note. At the moment, it is testing its high yield for the day again at 2.87% and stocks have hung in reasonably well.

Leadership from the technology (+0.7%), health care (+0.7%), and consumer discretionary (+0.3%) sectors is lending some needed support in the face of a relatively weak start for the financial (-0.4%) and energy (-0.4%) sectors. DJ30 +22.04 NASDAQ +16.68 SP500 +3.16 NASDAQ Adv/Vol/Dec 1151/188 mln/1075 NYSE Adv/Vol/Dec 1071/81 mln/1701

09:45 am : As expected, it was a soft start for the broader market. The S&P 500 slipped about four points and then promptly found support just below the 1652 area. The bounce off that level has been modest, though, as it is apparent that the influential financial (-0.3%) and energy (-0.4%) sectors are lagging in the early-going.

The financials are being weighed down in part by JPMorgan Chase (JPM 52.63, -0.66), which is reportedly being investigated for its hiring practices in China, and an observation in the "Ahead of the Tape" column in The Wall Street Journal that a Fed tapering could lead to a cool down in one of the market's best-performing sectors this year.DJ30 -9.83 NASDAQ +8.59 SP500 -0.30 NASDAQ Adv/Vol/Dec 1074/108 mln/1058 NYSE Adv/Vol/Dec 986/56 mln/1711

09:16 am : [BRIEFING.COM] S&P futures vs fair value: -3.00. Nasdaq futures vs fair value: +1.50. It isn't shaping up to be too exciting at the open. The S&P futures are plodding along and are currently 0.1% below fair value. After last week's sizable losses in the major averages, everyone seems to be waiting to see if the market shows some moxie and bounces back in a buy-the-dip rally or succumbs to further selling interest.

08:59 am : [BRIEFING.COM] S&P futures vs fair value: -2.80. Nasdaq futures vs fair value: +2.50. Overnight, markets across Asia were mostly lower with only Japan's Nikkei (+0.8%) and China's Shanghai Composite (+0.8%) seeing gains. Heavy selling engulfed emerging markets such as Indonesia's Jakarta Composite (-5.6%) and Thailand's SET (-3.3%) as economic data weighed. Indonesian stocks closed at a seven-month low as a wider than anticipated current account deficit caused the country's central bank to say it expects 2013 growth to be at the lower end of its 5.8-6.2% range. Meanwhile, Thailand's SET tumbled after the country's Q2 GDP fell well short of expectations (2.8% actual v. 3.3% expected). India's Sensex (-1.6%) saw heavy selling for a second session as the rupee tumbled to a record low 63.13 against the dollar. On the upside, Japan's Nikkei rallied despite a record deficit for the month of July (JPY0.94 trln actual v. JPY0.73 trln expected) as the yen weakened against the dollar, and China's Shanghai Composite gained as new home prices rose in 62 out of 70 cities.

In Japan, the Nikkei closed +0.8% as shares rallied on the back of the weak yen. Exporters were firm as Sony rallied 0.6% and Toyota tacked on 0.5%.
In Hong Kong, the Hang Seng finished -0.2% as shares slipped for a third day.
In China, the Shanghai Composite settled +0.8% as financials posted solid gains. Mid-sized China Minsheng Bank gained 4.0% while the larger Industrial Bank added 3.4%.

In Europe, markets are lower across the board with peripheral shares leading to the downside. Selling is heaviest in Spain's IBEX (-1.3%) and Italy's MIB (-1.7%) with shares pushing to fresh lows after Germany's Bundesbank suggested the ECB will not rule out a rate hike if inflation pressures emerge. Elsewhere, Italian BTPs are under pressure following a statement from Sivlio Berlusconi's suggesting all party members would resign if he was forced to give up his seat. The Italian 10-yr is higher by 8 bps at 4.268%.

In Britain, the FTSE is -0.5% as miners lead to the downside. Kazakhmys trades down 4.5% to lead the sector lower but Anglo American and Vedanta Resources are also under pressure, posting losses of at least 3.0%.
In France, the CAC is -0.9% as financials lag. BNP Paribas, Societe Generale, and Credit Agricole all hold losses of close to 2.0%.
In Germany, the DAX is -0.3% as counter cyclicals underperform. Deutsche Telekom, Metro, and E.ON are all lower by 1.4%.

08:32 am : [BRIEFING.COM] S&P futures vs fair value: -4.00. Nasdaq futures vs fair value: -1.00. The S&P futures have been in a slow fade throughout the morning and are currently near their lows for the day. Of course, the lows aren't all that low, yet the S&P futures are trading 0.2% below fair value, suggesting a lower start for the cash market. There hasn't been much in the way of news catalysts to turn the tide, so the main point of emphasis for the softness continues to be the jump in long-term interest rates. The yield on the 10-yr note hit 2.87% earlier this morning, but has since come back down to 2.84%, which is still 26 bps higher than where it began last week.

08:00 am : S&P futures vs fair value: -4.90. Nasdaq futures vs fair value: -1.30. Following last week's notable declines, the S&P futures are pointing to continued weakness at the open as they are trading 0.2% below fair value. Treasuries continue to slide and the bump in yield on the 10-yr note to 2.86% is acting as a headwind this morning.

Reviewing overnight developments:

Asian markets were generally mixed: Japan's Nikkei +0.8%; China's Shanghai Composite +0.8%; Hong Kong's Hang Seng -0.2%; Indonesia's JSX Index -5.6% (rupiah hits 4-yr low).
Investors received a handful of economic data:
China's house prices increased 7.5% (6.8% prior)
Japan reported a trade deficit of -JPY 1,024 bln (-JPY 786 bln expected, -181 bln prior) as imports rose 19.6% year-over-year (15.4% consensus, 11.8% previous) and exports increased 12.2% year-over-year (13.1% forecast, 7.4% prior).
Hong Kong's unemployment rate was reported at 3.3% (3.3% last).
New Zealand's input PPI increased 0.6% quarter-over-quarter (0.8% previous) while output PPI rose 1.0% (0.8% prior).
In news:
Reuters reports that head of PBOC doesn't expect any big changes to policy

European indices are mostly lower: Germany's DAX -0.3%; France's CAC 40 -0.8%; UK's FTSE 100 -0.4%
The German House Price Index was down 0.3% month-over-month (+0.5% prior).
Looking at news:
According to Reuters, the Bundesbank said in its monthly report that economic growth in Germany is likely to return to normal and steady rates in the second half of the year

In U.S. corporate news:

JPMorgan Chase (JPM 53.10, -0.19) is down slightly following a Reuters report that the bank is being investigated for its hiring practices in China
Intel (INTC 21.92) is indicated about 1.0% higher after a positive profile in this week's Barron's and a Piper Jaffray upgrade to Neutral from Underweight

06:27 am : [BRIEFING.COM] S&P futures vs fair value: -2.00. Nasdaq futures vs fair value: +1.00.

06:27 am : Nikkei...13758.13...+108.00...+0.80%. Hang Seng...22463.70...-54.10...-0.20%.

06:27 am : FTSE...6483.35...-16.60...-0.30%. DAX...8372.36...-19.60...-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 Image@ http://stocktwits.com/wrbtrader

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