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 Post subject: December 12th Thursday Trade Results - Profit $2107.50
PostPosted: Thu Dec 12, 2013 9:29 pm 
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Joined: Sat Jan 10, 2009 2:06 pm
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Location: Canada
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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)
http://twitter.com/wrbtrader (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 @ $670.00 dollars or +6.70 points, Emini ES ($ES_F) futures @ $1,437.50 dollars or +28.75 points, Light Crude Oil CL ($CL_F) futures @ $0.00 dollars or +0.00 points, Gold GC ($GC_F) futures @ $0.00 dollars or +0.00 points and EuroFX 6E ($6E_F) futures @ $0.00 dollars or +0.0000 ticks. Total Profit @ $2,107.50 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=124&t=1672

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 ##TheStrategyLab Chat Room is free. Members and I use the chat room to post WRB Analysis commentary, real-time trades and to post anything else related to trading. The chat room helps me tremendously in my own trading because I use it to document (journal) my thought process from trade to trade so that I can easily review at a later date my thoughts as I interacted with the markets...info I can not get from my broker statements. Also, this is not a signal calling chat room where a head trader tells you when to buy or sell. If you join the chat room and then you do not ask any questions about WRB Analysis in your own trading...the chat room will not be useful to you. Chat room access instructions @ http://www.thestrategylab.com/tsl/forum/viewforum.php?f=164

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 (answering your questions) prior to purchasing the Volatility Trading Report (VTR).

Image Trading Plan Daily Routine @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=226&t=2114

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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/BOE/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.

No, Virginia. There Is No Santa Claus Rally

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

NEW YORK (CNNMoney)
Stocks fell for a third straight day Thursday as investors watched some high profile initial public offerings and continued to look for clues as to when the Federal Reserve will wind down its bond buying program.

The Dow Jones Industrial Average tumbled more than 100 points. The S&P 500 and Nasdaq also ended lower.

The losses came on the heels of a sharp sell-off Wednesday when investors worried a new U.S. budget deal raised the chance that the Federal Reserve might start to scale back its support for the economy soon.

More economic data has investors attempting to figure out how that would impact the Fed's decisions ahead of its policy meeting next week.

The Department of Labor said initial jobless claims rose to 368,000 last week, higher than what economists were expecting.

Retail sales ticked up from the previous month, according to the Census Bureau, slightly beating Wall Street estimates.

Stocks often enjoy a nice rally in December but after a record-breaking run for the Dow and S&P 500, the so-called Santa Claus rally has yet to materialize. The S&P 500 has fallen 1.5% so far this month.

In another sign that December may not deliver strong returns, CNNMoney's Fear and Greed index, which tracks the VIX (VIX) and six other gauges of market sentiment, slipped into Fear territory. It was in Greed mode just a week ago.

* Will the market actually cheer tapering?

What's moving: Hilton Worldwide (HLT) surged over 7% Thursday as the hotel chain began trading on New York Stock Exchange. The hotel chain raised $2.4 billion through an initial public offering. Food services company Aramark (ARMK) also went public, raising $725 million. Shares jumped more than 13%.

Although Hilton's debut went pretty well, one StockTwits trader had mixed feelings on the stock.

"$HLT...Looks like good value but I see disruption happening in this industry," said crosenfield.

But StockTwits user DTB111 was ecstatic about the stock.

"$HLT got Hilton and holding super long! What a great day! " she said.

Shares of Lululemon (LULU) tanked more than 11% after the yogawear producer reported earnings and revenue that beat forecasts, but dimmed its outlook.

But another trader noted the previous ups and downs in the company's stock price and thinks it's a good time to buy.

"amazed if doesn't do what it did that last three times this happened, jump right back up, so always best to buy low.," said T1ST.

Facebook (FB, Fortune 500) bounced about 5% after Standard & Poor's announced late Wednesday that the social networking giant will be added to its benchmark S&P 500 index later this month.

"$FB Ready to blast Big," said StockTwits trader OptionTrader.

The social network may also have benefited from its announcement Thursday that users can now send private photos to one another over Instagram. Facebook bought Instagram last year. One trader quipped that Facebook must be nervous about how some younger users may be flocking to rival services generating a lot of buzz ... most notably Snapchat.

"$FB looks desperate and trying everything to keep 'the cool kids' around," said MrWallstreet.

Facebook admitted on its third quarter earnings conference call that it was having trouble keeping teenagers as engaged on the site.

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4:15 pm: [BRIEFING.COM] The major averages finished the session on a lower note as the S&P 500 lost 0.4% while the Nasdaq shed 0.1%. The Russell 2000, which paced the retreat on Tuesday and Wednesday, added 0.2%, trimming its December loss to 3.5%.

After spending the first half of the session in a steady retreat, the S&P 500 found technical support in the 1772 area. Upon reaching that level, the index reversed sharply, and marched back to its flat line. There was no particular catalyst responsible for the turn, but steady inflows into influential cyclical sectors paved the way for a broad-market rebound. Although the S&P 500 battled back to its flat line, final-hour selling pressured the index to a modest loss.

Financials (unch) and industrials (+0.1%) led the afternoon bounce while energy (+0.5%) joined the rally in progress.

The financial sector was buoyed by regional banks as the SPDR S&P Regional Banking ETF (KRE 39.14, +0.26) jumped 0.7%.

Elsewhere, the industrial space received support from defense contractors with the PHLX Defense Index advancing 0.5%. Transports displayed intraday strength, but the Dow Jones Transportation Average surrendered its gain into the close. The bellwether complex settled flat.

For its part, the energy sector finished near its session high even as crude oil surrendered its gain, ending flat at $97.46/bbl.

While most cyclical groups took part in the afternoon climb, the tech sector (-0.7%) struggled to keep pace with the broader market. Networking names pressured the largest S&P 500 sector after Oracle (ORCL 33.60, -0.96) was downgraded at RBC Capital Markets and Morgan Stanley. Oracle fell 2.8% while peers F5 Networks (FFIV 81.99, -2.25) and JDS Uniphase (JDSU 11.80, -0.38) lost 2.7% and 3.1%, respectively.

One tech component, Facebook (FB 51.83, +2.45), was immune to the selling pressure following news the stock will be added to the S&P 100 and S&P 500.

On the countercyclical side, the utilities sector (+0.1%) outperformed while consumer staples (-1.4%), health care (-0.8%), and telecom services (-0.4%) lagged. Notably, the health care space was pressured by managed-care names like Humana (HUM 100.47, -1.46) and UnitedHealth Group (UNH 71.01, -1.13) while biotechnology rallied. The iShares Nasdaq Biotechnology ETF (IBB 215.72, +1.53) advanced 0.7%.

Today's selling contributed to an increased demand for volatility protection, sending the CBOE Volatility Index (VIX 15.61, +0.19) to its highest close since October 15.

Trading volume was just above average as 740 million shares changed hands on the floor of the New York Stock Exchange.

Treasuries registered modest losses, sending the 10-yr yield up two basis points to 2.88%.

Initial claims for the week ending December 7 spiked to 368,000 (Briefing.com consensus 315,000) from 300,000. The Department of Labor said it is still experiencing problems with seasonal adjustment volatility, which means the headline is probably not as disappointing as it seems at first blush.

Separately, the retail sales data produced a cleaner read of things and it has painted a mostly encouraging picture for personal consumption activity. Retail sales increased 0.7% overall in November following an upwardly revised 0.6% increase (from 0.4%) in October. Excluding autos, retail sales increased 0.4% on top of an upwardly revised 0.5% increase (from 0.2%) in October.

Sales gains were pretty broad-based. The notable exceptions were gasoline station sales (-1.1%), which tracked lower gasoline prices and clothing and accessories stores (-0.2%), which tailed off following a strong 2.6% increase in October.

Also of note, October business inventories increased 0.7% after increasing 0.6% in September. The Briefing.com consensus expected business inventories to increase 0.3%.

The big upward surprise in inventories resulted from a large surprise in the previously released wholesale inventories report. Total business inventories include manufacturers, merchant wholesalers, and retailers. Typically, manufacturers (0.1%) and wholesalers (1.4%) are known prior to the release, but in this case the wholesaler data was not released until after the consensus made its prediction.

Tomorrow, November PPI and core PPI will be released at 8:30 ET.
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Nasdaq +32.4% YTD
Russell 2000 +29.9% YTD
S&P 500 +24.5% YTD
DJIA +20.1% YTD

3:35 pm: [BRIEFING.COM] Commodities ended mostly lower today, while the dollar index held gains and remains near its HoD.

Gold and silver were the worst performers today and basically traded sideways just above its LoD this afternoon. Feb gold ended today's session down $32.10 at $1224.70/oz, while Mar silver lost $0.88 (or -4.3%) at $19.47/oz.

Jan crude oil showed some strength today, but lost steam and ended the day one cent lower. Jan crude oil closed at $97.46/barrel. Jan natural gas futures ended tyhe session five cents higher despite a smaller-than-expected draw, as seen by from EIA inventory data figures.

3:00 pm: [BRIEFING.COM] Equity indices continue to hold their recent levels with the S&P 500 trading right near its flat line.

The benchmark index has continued its rebound off the midday lows with leadership from cyclical groups. At this juncture, technology (-0.3%) is the only cyclical sector, which remains below its flat line.

On the countercyclical side, health care has trimmed its loss to 0.3% while the consumer staples sector (-1.0%) remains near its session low.

2:30 pm: [BRIEFING.COM] Recent action saw a continuation of the rebound effort that is being paced by cyclical financials (+0.4%) and industrials (+0.3%). In addition, the energy sector (+0.8%) is also making a noteworthy contribution to the bounce even as crude oil trades with a modest gain of just 0.2% at $97.56/bbl.

Meanwhile, the other commodity-related sector, materials, continues to hold a slim loss of 0.1%. The sector trades in-line with the S&P 500 despite notable underperformance among miners. The Market Vectors Gold Miners ETF (GDX 20.94, -0.25) is lower by 1.2% while gold futures trade down 2.4% at $1227.00/ozt.

2:00 pm: [BRIEFING.COM] The S&P 500 trades lower by 0.3% after spending the past 90 minutes in a steady climb off the 1772 level. There was no specific catalyst responsible for the turn, but the recent gains among financials (+0.3%) and industrials (+0.2%) have contributed to the rebound.

The financial sector has received significant support from regional banks as the SPDR S&P Regional Banking ETF (KRE 39.26, +0.38) trades higher by 1.0%.

Elsewhere, the industrial sector has received well-rounded support from defense contractors and transports. The PHLX Defense Index is higher by 0.3% while the Dow Jones Transportation Average trades up 0.2%.

1:25 pm: [BRIEFING.COM] The market is attempting a recovery effort after the S&P 500 held technical support earlier in the session at the 1772 level. The recovery sledding hasn't been easy since leadership has been limited, although it is worth noting that the financial sector (+0.2%) has recently turned positive for the day.

Relative strength in that influential sector could invite some broader buy-the-dip action. Another pocket of relative strength can be found in the small-cap arena. The Russell 2000 (+0.1%) also just peaked back above the unchanged mark. That is striking considering the Russell 2000 has underperformed since the end of November.

In other developments, the $13 bln 30-yr bond reopening was on the soft side. It drew a high yield of 3.900% on a soft 2.35x bid-to-cover ratio that trailed the 12-auction average of 2.46x. Modest losses are being seen at the back end of the curve in the wake of the auction.


1:00 pm: [BRIEFING.COM] At midday, the major averages hover near their lows. The S&P 500 trades down 0.4% while the Dow Jones Industrial Average underperforms with a loss of 0.7%.

The price-weighted Dow lags as 26 of its 30 components register losses. The largest index member, Visa (V 202.76, -2.90), trades lower by 1.4%, contributing to the weakness. On a related note, the technology sector (-0.6%) is the weakest cyclical group, which is pressuring the broader market.

Networking stocks are enduring a rough session after Oracle (ORCL 33.73, -0.82) received two downgrades. The stock trades lower by 2.4% while peers F5 Networks (FFIV 81.95, -2.29) and JDS Uniphase (JDSU 11.76, -0.42) hold respective losses of 2.7% and 3.5%.

While most sector components trade lower, Facebook (FB 51.22, +1.84) sports a solid gain of 3.8% amid news the company will be added to the S&P 500 and S&P 100.

Even though the tech sector weighs on the S&P 500, the Nasdaq (-0.1%) trades ahead of the broader market thanks to biotechnology bucking the downtrend. The iShares Nasdaq Biotechnology ETF (IBB 215.68, +1.49) trades up 0.7%.

Biotechnology tends to trade in-line with the health care sector, but that has not been the case today. Despite the outperformance of biotech, the health care sector (-0.8%) is being pressured by managed-care names. UnitedHealth Group (UNH 71.22, -0.92), HCA Holdings (HCA 45.64, -1.08), and Wellpoint (WLP 88.66, -0.61) are all down between 0.7% and 2.3%.

Similar to health care, two other defensive sectors-consumer staples (-1.3%) and telecom services (-0.5%)-can be found among the laggards while the utilities sector (+0.1%) outperforms.

Today's persistent selling has increased the demand for downside protection, briefly sending the CBOE Volatility Index (VIX 15.91, +0.49) above the 16.00% level for the first time since October 16.

Treasuries hold modest losses with the 10-yr yield up two basis points at 2.88%.

Initial claims for the week ending December 7 spiked to 368,000 (Briefing.com consensus 315,000) from 300,000. The Department of Labor said it is still experiencing problems with seasonal adjustment volatility, which means the headline is probably not as disappointing as it seems at first blush.

Separately, the retail sales data produced a cleaner read of things and it has painted a mostly encouraging picture for personal consumption activity. Retail sales increased 0.7% overall in November following an upwardly revised 0.6% increase (from 0.4%) in October. Excluding autos, retail sales increased 0.4% on top of an upwardly revised 0.5% increase (from 0.2%) in October.

Sales gains were pretty broad-based. The notable exceptions were gasoline station sales (-1.1%), which tracked lower gasoline prices and clothing and accessories stores (-0.2%), which tailed off following a strong 2.6% increase in October.

Also of note, October business inventories increased 0.7% after increasing 0.6% in September. The Briefing.com consensus expected business inventories to increase 0.3%.

The big upward surprise in inventories resulted from a large surprise in the previously released wholesale inventories report. Total business inventories include manufacturers, merchant wholesalers, and retailers. Typically, manufacturers (0.1%) and wholesalers (1.4%) are known prior to the release, but in this case the wholesaler data was not released until after the consensus made its prediction.

12:30 pm: [BRIEFING.COM] The S&P 500 (-0.5%) has cracked fresh lows as the downtrend persists. Heavily-weighted technology (-0.6%) and health care (-0.8%) continue setting the general direction while the notable underperformance of consumer staples (-1.4%) adds to the downward pressure.

Meanwhile, the consumer discretionary sector (-0.5%) is nearing its session low after displaying some relative strength in the early going. Apparel manufacturers are contributing to the retreat after Lululemon Athletica (LULU 61.03, -7.32) issued disappointing guidance alongside its better-than-expected earnings report. Peer Under Armour (UA 83.14, -1.33) trades lower by 1.6%.

The recent wave of selling has increased the demand for downside protection, sending the CBOE Volatility Index (VIX 16.03, +0.61) above the 16.00% level for the first time since October 16.

12:00 pm: [BRIEFING.COM] Range-bound action continues with the S&P 500 attempting to build on the outperformance of energy, financials, and industrials as the three sectors hover just above their flat lines. However, the continued weakness of health care (-0.5%) and technology (-0.5%) has kept the market from following in the footsteps of the outperforming sectors.

Interestingly, small-caps have displayed some relative strength as the Russell 2000 hovers near its best level of the session (+0.3%). This comes after the Russell paced the broad retreat on Tuesday and Wednesday. Despite today's gain, the index remains lower by 3.4% in December versus a 1.5% decline for the S&P 500.

11:30 am: [BRIEFING.COM] Recent action saw the S&P 500 slide from its rebound high as influential sectors remain mixed. Energy (+0.1%) and financials (unch) have provided a measure of support to the broader market, but the underperformance of the largest sector, technology (-0.4%), presents a headwind to the broader market.

Elsewhere, the third-largest sector, health care (-0.5%), is also among the laggards. Interestingly, the sector hovers in the red even as biotechnology outperforms. The iShares Nasdaq Biotechnology ETF (IBB 216.54, +2.35) is higher by 1.1%, which is contributing to the outperformance of the Nasdaq.

11:05 am: [BRIEFING.COM] The major averages remain mixed with the Nasdaq (+0.1%) holding a modest gain while the Dow Jones Industrial Average (-0.5%) lags. Meanwhile, the S&P 500 holds a more modest loss of 0.2% as seven of ten sectors hover in the red.

Of the seven decliners, defensive sectors display the most notable losses with consumer staples and health care trading lower by 0.9% and 0.4%, respectively.

Over on the cyclical side, technology (-0.3%) is the biggest laggard while the remaining groups hover near their flat lines. On the upside energy trades higher by 0.3% while crude oil also sports a gain of 0.3% at $97.74 per barrel.

10:35 am: [BRIEFING.COM] The dollar index remains near its HoD this morning, while gold and silver remain sharply lower. Energy has displayed some strength this morning and nat gas was almost 1% higher ahead of inventory data.

Following the weekly EIA inventory data, Jan natural gas moved higher, despite a smaller-than-expected draw. Jan nat gas is now +0.8% at $4.37/MMBtu.

Crude oil gained steam during the overnight session and rose as high as $98.15. In current trade, Jan crude oil is +0.4% at $97.80/barrel.

Precious metals got hit hard this morning. Both gold and silver have been sliding lower since the overnight session. Currently, Feb gold is -2.3% at $1227.80/oz, while Mar silver is -4.0% at $19.54/oz.

10:00 am: [BRIEFING.COM] The major averages have dropped to fresh lows with the Dow Jones Industrial Average (-0.4%) pacing the retreat. Large components like Visa (V 203.39, -2.27) and Nike (NKE 75.81, -0.79) are pressuring the index, trading lower by 1.0% apiece.

Just reported, October business inventories rose 0.7%, which was above the 0.3% increase expected by the Briefing.com consensus. This follows the prior month's revised increase of 0.5%.

9:50 am: [BRIEFING.COM] The S&P 500 hovers right below its flat line while the Nasdaq outperforms with a modest gain of 0.1%.

Energy (+0.2%) and utilities (+0.5%) have provided some early leadership while the remaining sectors hover near their respective flat lines. The consumer staples space is an exception as it lags with a loss of 0.4%.

Elsewhere, Treasuries hold modest losses with the benchmark 10-yr yield up one basis point at 2.87%.

9:15 am: [BRIEFING.COM] S&P futures vs fair value: -0.50. Nasdaq futures vs fair value: +4.20. The S&P 500 futures hover in-line with fair value after the November retail sales report (+0.7% actual, +0.6% Briefing.com consensus) boosted futures off their lows. The report also helped major European indices surge off their lows as they look to avoid registering losses for the third day in a row.

In addition to news regarding retail sales, participants received the weekly initial claims report, which spiked to 368,000 from an upwardly revised 300,000 (from 298,000). The Briefing.com consensus expected the initial claims level to increase to 315,000. It should be noted the Bureau of Labor Statistics cited seasonal adjustments problems, this time from both the Thanksgiving and Christmas holidays, as part of the reason for the observed increase.

With futures trading little changed, the cash market is on track for a flat open as the S&P 500 will look to rebound after losing 1.5% over the past two sessions.

8:54 am: [BRIEFING.COM] S&P futures vs fair value: +0.40. Nasdaq futures vs fair value: +4.70. The S&P 500 futures have climbed out of the red following today's better-than-expected retail sales report (+0.7% actual versus +0.6% Briefing.com consensus).

It was a sea of red across Asia as all of the major Asian bourses ended with losses. The weakness came as markets remain on edge over whether or not the U.S. Federal Reserve will begin to scale back its bond-buying program as early as next week's meeting. India's Sensex (-1.2%) was among the leaders to the downside as sellers took control ahead of the economic data that was due out after the close. India's CPI surged to 11.2% year-over-year (10.0% expected, 10.1% previous) while industrial production (-1.8% year-over-year versus 2.0% expected) fell well short of estimates.

Elsewhere, Australia's ASX (-0.8%) lost ground despite the strong employment change data (21.0K actual versus 10.3K expected) as the unemployment rate ticked up to 5.8% from 5.7%, as expected. China's Shanghai Composite (-0.1%) and Hong Kong's Hang Seng (-0.5%) outperformed. The region saw three central bank rate decisions with Bank of Korea and Bangko Sentral ng Pilipinas holding their key rates steady at their respective 2.50% and 3.50% while Bank Indonesia surprised markets with a 25 basis point hike to 7.50%.

In Japan, the Nikkei closed lower by 1.1% as sellers remained in control for a third session. Parts maker Nitto Denko was hit hard, tumbling 19.0% after lowering its guidance. Meanwhile, real estate stocks outperformed on news office vacancy rates in Tokyo continued to fall. Mitsui Fudosan and Tokyu Fudosan both added at least 1.0%.
Hong Kong's Hang Seng shed 0.5% as trade fell below the 50-day moving average. Financials were among the worst performers as Industrial & Commercial Bank of China fell 1.3% and China Construction Bank lost 1.5%.
In China, the Shanghai Composite slipped 0.1% as action held at two-week lows. Financials tracked their peers in Hong Kong with China Merchants Bank losing 1.9%.

Major European indices hover in the red, continuing their recent weakness. Following yesterday's close, Italian Prime Minister Enrico Letta won confidence votes in the Senate and the Lower House, as expected. Also of note, peripheral bonds are under pressure amid reports the European Central Bank may tighten its collateral requirements. Italy's benchmark 10-yr yield is higher by four basis points at 4.09% while Spain's 10-yr also trades higher by four basis points, at 4.08%.

Economic data was limited to just a handful of releases. Eurozone industrial production fell 1.1% month-over-month (0.3% forecast, -0.2% last) while the year-over-year reading ticked up 0.2% (1.1% consensus, 0.2% prior). France's CPI was unchanged month-over-month (-0.1% expected, -0.1% last). Great Britain's CB Leading Index ticked up 0.4% month-over-month (1.7% prior). Italy's CPI fell 0.3% month-over-month (-0.4% expected, -0.4% last) while the year-over-year reading rose 0.7% (0.6% consensus, 0.6% prior). Elsewhere, the Swiss National Bank held its key interest rate unchanged at 0.00%, as expected.

In France, the CAC is lower by 0.2% with growth-sensitive names leading the decline. Energy producer Technip and technology component STMicroelectronics are both down 2.1%. Defense contractor EADS outperforms with a modest gain of 0.5%.
Germany's DAX trades down 0.4% as producers of basic materials lag. K+S, Lanxess, and ThyssenKrupp are all down between 1.6% and 2.5%. Defensively-geared Fresenius SE and Fresenius Medical outperform, trading higher by 1.0% and 0.5%, respectively.
Great Britain's FTSE holds a loss of 0.7% as miners weigh. Fresnillo, Randgold Resources, and Vedanta Resources are all down close to 3.5% apiece. Countercyclical names outperform with National Grid and United Utilities Group up 0.7% and 1.6%, respectively.

8:35 am: [BRIEFING.COM] S&P futures vs fair value: -3.60. Nasdaq futures vs fair value: -1.00. The S&P 500 futures trade lower by 0.1%.

The latest weekly initial jobless claims count totaled 368,000, which was higher than the 315,000 that had been expected by the Briefing.com consensus. Today's tally was above the revised prior week count of 300,000. As for continuing claims, they rose to 2.791 million from 2.751 million.

November retail sales ticked up 0.7% while the Briefing.com consensus expected an increase of 0.6%. The prior month's reading was revised to reflect an increase of 0.6% (from +0.4%).

Excluding autos, retail sales increased 0.4% against the expectations of a 0.3% rise. Last month's reading was revised up to indicate growth of 0.5% (from +0.2%). Export prices, excluding agriculture, ticked up 0.1% in November after decreasing 0.6% in the prior reading. Excluding oil, import prices were unchanged, which follows last month's uptick of 0.1%.

8:00 am: [BRIEFING.COM] S&P futures vs fair value: -2.10. Nasdaq futures vs fair value: flat. U.S. equity futures trade modestly lower amid cautious overseas action. The S&P 500 futures hover roughly two points below fair value.

Reviewing overnight developments:

Asian markets ended lower. China's Shanghai Composite -0.1%, Hong Kong's Hang Seng -0.5%, and Japan's Nikkei -1.1%.
In regional economic data:
Japan's weekly foreign bonds buying report indicated net purchases in the amount of JPY413.20 billion (JPY65.50 billion prior).
The Bank of Korea held its key interest rate unchanged at 2.50%, as expected.
The Reserve Bank of New Zealand also maintained its interest rate at 2.50%, in-line with expectations. Separately, FPI ticked down 0.2% month-over-month (-1.0% last).
Australia's employment change came in at 21,000 (10,000 expected, -700 prior) while the unemployment rate ticked up to 5.8% from 5.7%, as expected. Also of note, MI Inflation Expectations increased to 2.1% from 1.9%.
India's industrial production decreased 1.8% year-over-year (-1.2% expected, 2.0% prior). Separately, CPI increased 11.2% year-over-year (10.0% consensus, 10.1% last).
In news:
Reports out of Japan indicate Prime Minister Shinzo Abe's cabinet is expected to approve an additional JPY5.50 trillion aimed at deploying stimulus measures. Separately, the country is expected to increase its total defense spending to JPY24.40 trillion over the next five years.
Major European indices hover near their lows in a continuation of the recent weakness. France's CAC -0.5%, Germany's DAX -0.7%, and Great Britain's FTSE -0.9%.
Economic data was limited:
Eurozone industrial production fell 1.1% month-over-month (0.3% forecast, -0.2% last) while the year-over-year reading ticked up 0.2% (1.1% consensus, 0.2% prior).
France's CPI was unchanged month-over-month (-0.1% expected, -0.1% last).
Great Britain's CB Leading Index ticked up 0.4% month-over-month (1.7% prior).
Italy's CPI fell 0.3% month-over-month (-0.4% expected, -0.4% last) while the year-over-year reading rose 0.7% (0.6% consensus, 0.6% prior).
The Swiss National Bank held its key interest rate unchanged at 0.00%, as expected.
Among news of note:
Peripheral bonds are under pressure amid reports the European Central Bank may tighten its collateral requirements. Italy's benchmark 10-yr yield is higher by four basis points at 4.09% while Spain's 10-yr also trades higher by four basis points, at 4.08%.
Italian Prime Minister Enrico Letta won confidence votes in the Senate and the Lower House, as expected.

In U.S. corporate news:

Ciena (CIEN 20.40, -2.50): -10.9% following its bottom-line miss on above-consensus revenue. In addition, the company announced its listing will be transferred from the Nasdaq to the New York Stock Exchange.
Lululemon Athletica (LULU 61.53, -6.82): -10.0% after its disappointing fourth-quarter guidance overshadowed its Q3 earnings beat on in-line revenue.
Oracle (ORCL 33.77, -0.79): -2.3% after receiving downgrades from Morgan Stanley and RBC Capital Markets.
Southwest Airlines (LUV 18.13, +0.16): +0.9% after Bank of America/Merrill Lynch upgraded the stock to 'Buy' from 'Neutral.'

Weekly initial claims, November Retail Sales, and November export prices ex-agriculture and import prices ex-oil will all be reported at 8:30 ET. The day's data will be topped off with the 10:00 ET release of the October Business Inventories report.

6:08 am: [BRIEFING.COM] S&P futures vs fair value: -9.00. Nasdaq futures vs fair value: -5.50.

6:08 am: [BRIEFING.COM] Nikkei...15341.82...-173.20...-1.10%. Hang Seng...23218.12...-120.10...-0.50%.

6:08 am: [BRIEFING.COM] FTSE...6447.34...-60.40...-0.90%. DAX...9016.71...-61.40...-0.70%.

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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