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 Post subject: May 13th Tuesday Trade Results - No Trades
PostPosted: Tue May 13, 2014 10:11 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
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Quote:
No trades today due to a personal day off from the markets for appointments.

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $0.00 dollars or +0.00 points, Emini ES ($ES_F) futures @ $0.00 dollars or +0.00 points, Light Crude Oil CL ($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 @ $0.00 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 timestamp ##TheStrategyLab chat room. You can read today's price action trading information about my trades (e.g. time, price entry, contract size, price exit) as the trade traversed to its completion. Also, sometimes I'll post real-time trading tips involving WRBs, WRB Hidden GAPs, Key Market Events (KME), Tutorial Chapters 2 & 3, WRB Zones, Reaction Highs/Lows, Contracting Volatility or Expanding Volatility. Its all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=130&t=1791

Quote:
If any of my real-time posted trades are via key concepts discussed in the WRB Analysis free study guide or the Fading Volatility Breakout (FVB) free trade signal strategy...I will discuss the reasons (trade strategy) behind those trades if/when a user of ##TheStrategyLab chat room ask questions about the trades. In contrast, real-time posted trades that are via the Advance WRB Analysis Tutorial Chapters 4 - 12 or the Volatility Trading Report (VTR) trade signal strategies...I discuss the reasons (trade strategy) behind those trades with fee-base clients in a different private chat room that's designated only for fee-base clients or discuss the strategies with fee-base clients on my Skype contact list.

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) general volatility analysis involving WRB Analysis 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 and I do not have the time/energy/resources to manage a signal calling chat room. Access instructions for chat room @ 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=238&t=2329

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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. Further, most financial websites remove (delete) their archives after a few years to make room for new content. Therefore, I maintain my own archives of the news content so that I have it available for me when financial websites no longer archives their content.

Stocks Hit New Highs As S&P Touches 1,900

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

NEW YORK (CNNMoney)
Another day, another record for stock prices.

The S&P 500 touched 1,900 for the first time ever on Tuesday, although the index closed just below that threshold, and the Nasdaq lost some ground.

This marked the third consecutive record close for the Dow Jones industrial average (16,715) and S&P 500 (1,897), while the Nasdaq continues to underperform its peers this year amid a rotation away from momentum stocks, especially in tech.

The S&P 500 has achieved recent milestones at a very fast pace.

After first crossing over the 1,500 line in March 2000, it took the S&P 500 13 years to eclipse the 1,600 mark, according to S&P Dow Jones Indices. But the broad index then logged the next four round number milestones all in the past year.

There was very little volatility on Tuesday, as evidenced by the Dow's extremely tight trading range of less than 40 points.

The early enthusiasm in the market was muted a bit by an economic report that showed consumer spending slowed in April. Despite warmer weather in the spring, consumers didn't open up their wallets as much as Wall Street hoped. U.S. retail sales inched up just 0.1% last month, trailing forecasts for a 0.4% rise.

In response to the disappointing data, consumer discretionary stocks were among the weakest performers on Tuesday.

Investors shed exposure to a number of retail stocks, including Dollar Tree (DLTR, Fortune 500) and Target (TGT, Fortune 500). Earnings reports from J.C. Penney (JCP, Fortune 500) and Nordstrom (JWN, Fortune 500) are due out later this week.

The government also said electronics and appliance store sales slid 2.3% last month, driving shares of Whirlpool (WHR, Fortune 500) almost 3% into the red.

Consumer financial stocks ran into resistance after a new Fed report showed the amount of credit-card debt outstanding dropped in the first quarter to the lowest level on record going back to 2003. Discover Financial (DFS, Fortune 500) and American Express (AXP, Fortune 500) both closed lower.

Investors continue to see many power plays at the stock level. They guzzled down shares of Keurig Green Mountain (GMCR), which soared over 7.5% after Coca-Cola (KO, Fortune 500) announced plans to boost its stake in the company to 16%. The move represents a vote of confidence from the world's largest beverage maker and follows an initial 10% stake acquired in February.

StockTwits user KidDynamiteBlog said: "if $KO wanted to buy $GMCR couldn't they have done it cheaper by bidding all at once? ie - they're running up their own eventual cost?"

Elizabeth Arden (RDEN) plummeted almost 23% after disclosing a 20% sales tumble and a surprise loss amid weak store traffic. The cosmetics company also tapped Goldman Sachs to explore a possible sale or other options.

DirecTV (DTV, Fortune 500) reversed course and ended in the red despite reports indicating AT&T (T, Fortune 500) could quickly clinch a $50 billion bid to buy the satellite TV company. Rival Dish Network (DISH, Fortune 500) pared early losses and closed narrowly higher.

Other Nasdaq stocks struggling include Vodafone (VOD) and TripAdvisor (TRIP).

Mergers and acquisitions continue to drive a lot of the upbeat mood on Wall Street. Valeant Pharmaceuticals (VRX) signaled plans to raise its $46 billion offer to acquire Allergan (AGN, Fortune 500), which the Botox maker formally rejected on Monday.

Investors will also be focusing on developments in the pharmaceutical industry. The American drug maker Pfizer (PFE, Fortune 500) wants to buy Britain's AstraZeneca (AZN) and both CEOs will appear before a U.K. parliamentary committee to answer questions about the potential takeover.

The earnings front was largely quiet, but Fossil (FOSL) and Take-Two Interactive (TTWO) are on tap to report results after the closing bell.

European markets ended mostly higher after reports that Germany's central bank supports additional stimulus measures from the European Central Bank. Germany's Dax index advanced 0.5%.

In Asia, India's benchmark Mumbai Sensex index surged to a record high Tuesday after election exit polls indicated that voters will deliver a mandate to Narendra Modi and the pro-business Bharatiya Janata Party.

Most other regional markets ended with gains. The Nikkei in Japan jumped by 2%.

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4:10 pm: [BRIEFING.COM] The major averages ended the Tuesday session on a mixed note despite showing early strength. The S&P 500 added less than a point, while the Russell 2000 lost 1.0%.

Equity indices began the trading day on an upbeat note even though the April Retail Sales report that was released ahead of the open missed expectations. The report pointed to soft consumer spending, but had little effect on equities as the disappointing figures suggested there is little need as of yet to worry that the first rate hike from the Fed will come sooner rather than later.

With the data out of the way, the S&P 500 rallied out of the gate, charging past the 1,900 mark for the first time ever. Even though the index was able to creep above that psychological level during the first hour of action, it could not hold its high as the underperformance of small caps weighed on the overall sentiment. Furthermore, the lack of concerted leadership from either the cyclical or the countercyclical side contributed to the caution that was exhibited by market participants.

The four top-weighted sectors were mixed when compared to the S&P 500. Consumer discretionary (-0.3%) and financials (-0.1%) lagged throughout the session, while health care (+0.2%) and technology (+0.1%) registered modest gains after displaying some intraday volatility.

The health care sector posted a slim gain even as biotechnology ended on lows. The iShares Nasdaq Biotechnology ETF (IBB 230.51, -1.41) fell 0.6% after being up nearly 1.0% during the first hour of action.

Elsewhere, the tech sector was kept from pulling away from its flat line by the mixed performance among momentum names. LinkedIn (LNKD 147.67, -4.63) and Yelp (YELP 55.53, -1.07) lost 3.0% and 1.9%, respectively, while chipmakers also struggled, sending the PHLX Semiconductor Index lower by 0.8%.

Even though the top four sectors did not show much strength, the S&P 500 never dipped too far below its flat line as energy (+0.3%), industrials (+0.2%), and consumer staples (+0.2%) outperformed throughout the session. Notably, the industrial sector was underpinned by transports as the Dow Jones Transportation Average (+0.5%) climbed to a fresh all-time high.

On the fixed income side, Treasuries surged after the disappointing Retail Sales report and continued their advance into the afternoon. As a result, the benchmark 10-yr yield fell five basis points to 2.61%.

For the second day in a row, participation was well below average, with less than 600 million shares changing hands at the NYSE.

Economic data featured Retail Sales, Import/Export Prices for April, and March Business Inventories:
Related Stories

InPlay from Briefing.com Briefing.com
S&P 500 Eclipses 1,900 for First Time, Dow Books Another All-Time High TheStreet.com
Stocks mixed, but another record close on the books CNBC
S&P 500, Dow eke out record closes; Nasdaq loses ground: stock market live blog recap MarketWatch
Retail sales nearly flat in April USA TODAY

Retail sales increased 0.1% in April after increasing an upwardly revised 1.5% (from 1.2%) in March. The Briefing.com consensus expected retail sales to increase 0.3%. Expectations of strong GDP growth in the second quarter were predicated on the unleashing of pent-up demand from weather-related delays. So far, that has not happened. Instead, sales growth trended in-line with income gains. The April Employment report showcased a 0.2% increase in aggregate earnings, which translated into a 0.1% increase in retail sales. Excluding transportation, retail sales were flat after increasing an upwardly revised 1.0% (from 0.7%) in March. The consensus expected these sales to increase 0.6%.
Export prices, excluding agriculture, fell 1.2% in March after increasing 0.8% in the prior reading. Excluding oil, import prices were unchanged, which followed last month's uptick of 0.3%.
Business inventories increased 0.4% in March after increasing an upwardly revised 0.5% (from 0.4%) in February. The Briefing.com consensus expected business inventories to increase 0.4%. Total inventories consist of manufacturer, merchant wholesaler, and retailers. Both manufacturers (0.1%) and wholesalers (1.1%) were known prior to the release. Only retailer inventories, which were flat after falling 0.1% in February, were unknown.

Tomorrow, the weekly MBA Mortgage Index will be released at 7:00 ET, while April PPI and Core PPI will be reported at 8:30 ET.

S&P 500 +2.7% YTD
Dow Jones Industrial Average +0.8% YTD
Nasdaq Composite -1.1% YTD
Russell 2000 -3.4% YTD

3:35 pm: [BRIEFING.COM]

June gold erased most of its early morning losses as it popped from its session low of $1290.00 per ounce following retail sales economic data.
Retail sales increased 0.1% in April after increasing an upwardly revised 1.5% (from 1.2%) in March. The Briefing.com consensus expected retail sales to increase 0.3%.
The yellow metal touched a session high of $1299.00 per ounce in late morning action and spent the remainder of the session chopping around near the unchanged line. It eventually settled 0.1% lower at $1294.70 per ounce.
July silver came off its session low of $19.47 per ounce in early morning action and brushed a session high of $19.62 per ounce. It also consolidated near the unchanged level in afternoon floor trade and settled with a 0.1% loss at $19.53 per ounce.
June crude oil extended yesterday's gains as investors awaited tomorrow's EIA inventory data. The energy component came off its session low of $100.85 per barrel set moments after equity markets opened. It rallied slightly heading into the close and settled at $101.73 per barrel, or 1.1% higher.
June natural gas fell for a fifth consecutive session. It trended lower after pulling back from its session high of $4.44 per MMBtu set in early morning pit trade and settled with a 1.6% loss at $4.36 per MMBtu.

2:55 pm: [BRIEFING.COM] The S&P 500 trades higher by 0.1% with one hour remaining in the session. The benchmark index made some headlines in the morning by crossing the 1,900 level for the first time before returning to its flat line around 11:30 ET. Since then, the S&P 500 has been respecting a narrow range, while the Russell 2000 (-0.7%) has been pinned to its lows.

Six of ten sectors trade in the green into the last hour of action, but their gains have been limited to no more than 0.3%. On the flip side, consumer discretionary (-0.3%) and financials (-0.1%) remain on the defensive.

2:30 pm: [BRIEFING.COM] Equity indices remain near their recent levels with the S&P 500 trading one point above its flat line.

Market participants received just a handful of quarterly reports between yesterday's closing bell and today's open with another batch of earnings on this evening's schedule. Of the 12 companies that will report their results, apparel retailer Fossil (FOSL 112.17, +0.09) and video game developer and publisher Take-Two (TTWO 20.74, +0.07) are expected to receive the most scrutiny.

The Capital IQ consensus expects Fossil to report year-over-year earnings decay of 3.3% on $770.69 million in revenue. For its part, Take-Two is expected to report earnings 73.7% below last year's results from the same quarter on revenue of $201.68 million.

Tomorrow morning, another set of almost 20 reports will cross the wires with Deere (DE 93.96, +0.31) and Macy's (M 57.77, +0.38) headlining the list.

2:00 pm: [BRIEFING.COM] The S&P 500 has returned to its session low after spending the better part of the past three hours within a point of its unchanged level. The index displayed early strength, but has been fighting to stay above its flat line in recent action amid weakness in small caps.

Although the benchmark average is not composed of the names that are keeping the Russell 2000 lower by 0.8%, the weakness among small caps has weighed on sentiment, which in turn has kept participants from increasing their risk exposure.

Elsewhere, Treasuries remain near their highs (10-yr yield -5 bps at 2.61%), which is also contributing to the cautious posture.

1:25 pm: [BRIEFING.COM] After sticking its neck above the 1900 level, the S&P 500 has moved to lower reaches. Selling interest, however, has been limited with the "Fed put" seemingly in play today.

To that end, the Retail Sales report for April was disappointing, suggesting there is little need as of yet to worry that the first rate hike from the Fed will come sooner rather than later. The market is currently eyeing July 2015 as the likely period when the Fed will hike the fed funds rate from the zero bound.

The Treasury market certainly doesn't appear to be worried about a premature rate hike either. Gains are seen across the yield curve. Longer-dated securities, though, have made the biggest move as the retail sales data have been construed as a sign that economic growth may not be as strong as many economists are forecasting.

The 10-yr note is trading at its best level of the day, up 13 ticks and yielding 2.61% after yesterday's cash settlement of 2.66%.

1:00 pm: [BRIEFING.COM] The Dow Jones Industrial Average (+0.2%), Nasdaq (-0.2%), and S&P 500 (+0.1%) hover near their flat lines at midday, while the Russell 2000 (-0.7%) underperforms.

Stocks were able to put together a modest rally during the first hour of action despite today's disappointing Retail Sales report for April, which suggested consumer spending growth has been somewhat lacking. The opening advance placed the S&P 500 above the 1,900 level for the first time ever, but the benchmark index reversed from its session high shortly thereafter amid weakness in high-growth names. That underperformance has pressured sectors like consumer discretionary (-0.4%) and technology (unch), while also weighing on the overall sentiment.

Furthermore, the performance of the top-weighted sectors has not done much to inspire confidence in the buy-the-dip trade as financials (-0.1%) lag alongside the aforementioned technology and discretionary sectors, while health care (+0.3%) continues showing relative strength.

Interestingly, the health care sector sports a modest advance even though biotechnology has struggled to keep pace with the sector. The iShares Nasdaq Biotechnology ETF (IBB 231.45, -0.47) is lower by 0.2% after being up nearly 1.0% earlier.

Meanwhile, two of the remaining countercyclical sectors-consumer staples (+0.3%) and utilities (+0.2%)-trade ahead of the broader market, while the telecom services space (-0.5%) rounds out the bottom of the leaderboard.

It is also worth mentioning that Treasuries rallied following the Retail Sales report, and have not looked back since then. The 10-yr note is higher by 12 ticks with its yield down five basis points at 2.61%.

Economic data featured Retail Sales, Import/Export Prices for April, and March Business Inventories:

Retail sales increased 0.1% in April after increasing an upwardly revised 1.5% (from 1.2%) in March. The Briefing.com consensus expected retail sales to increase 0.3%. Expectations of strong GDP growth in the second quarter were predicated on the unleashing of pent-up demand from weather-related delays. So far, that has not happened. Instead, sales growth trended in-line with income gains. The April Employment report showcased a 0.2% increase in aggregate earnings, which translated into a 0.1% increase in retail sales. Excluding transportation, retail sales were flat after increasing an upwardly revised 1.0% (from 0.7%) in March. The consensus expected these sales to increase 0.6%.
Export prices, excluding agriculture, fell 1.2% in March after increasing 0.8% in the prior reading. Excluding oil, import prices were unchanged, which followed last month's uptick of 0.3%.
Business inventories increased 0.4% in March after increasing an upwardly revised 0.5% (from 0.4%) in February. The Briefing.com consensus expected business inventories to increase 0.4%. Total inventories consist of manufacturer, merchant wholesaler, and retailers. Both manufacturers (0.1%) and wholesalers (1.1%) were known prior to the release. Only retailer inventories, which were flat after falling 0.1% in February, were unknown.

12:25 pm: [BRIEFING.COM] Not much change since our most recent update as the S&P 500 remains roughly one point above its flat line. Although the benchmark index has slumped from its session high alongside the Russell 2000, it has been able to stay out of the red thanks to the relative strength of consumer staples (+0.3%), energy (+0.3%), and industrials (+0.3%).

Elsewhere, the Dow Jones Industrial Average (+0.1%) trades ahead of its peers as investors shift some funds into blue chips amid the continued volatility in high-growth listings. At this juncture, 19 of 30 Dow components trade with gains.

12:00 pm: [BRIEFING.COM] The S&P 500 continues holding right above its flat line, but the Russell 2000 has widened its loss to 0.7%.

With high-growth stocks on the defensive once again, the two sectors that include a fair share of momentum names-consumer discretionary (-0.3%) and technology (-0.1%)-are exerting noteworthy pressure on the broader market.

Similarly, the iShares Nasdaq Biotechnology ETF (IBB 231.74, -0.18) is now lower by 0.2% after showing a solid gain earlier this morning; however, the broader health care sector (+0.3%) remains in the lead.

11:30 am: [BRIEFING.COM] The major averages have slumped from their session highs with small caps leading the retreat. The Russell 2000 is now lower by 0.4%, while the S&P 500 has returned to its flat line. In our previous update, we mentioned that outside of health care (+0.4%) and industrials (+0.3%), the performance of the remaining sectors has been largely unremarkable.

As such, the absence of concerted sector leadership has caused participants to take some money off the table, which has resulted in the broader market slipping from its best levels of the day.

Top-weighted sectors are somewhat mixed as the discretionary sector (-0.3%) lags, while technology and financials trade little changed. Lastly, the aforementioned health care space continues outperforming, but biotech has retreated from its high. The iShares Nasdaq Biotechnology ETF (IBB 232.53, +0.61) is higher by 0.3% after being up as much as 0.9% earlier.

10:55 am: [BRIEFING.COM] Equity indices have extended to fresh highs after enduring a first hour that was a bit shaky. The S&P 500 has climbed back above the 1,900 level as eight of ten sectors hold gains.

Health care (+0.5%) and industrials (+0.5%) are the two leading sectors, while most remaining groups display gains in the neighborhood of 0.3%. On the downside, the telecom services sector is lower by 0.6%, but the performance of the group is often overlooked considering it only accounts for 2.5% of the entire market.

With the S&P 500 trading at a fresh record high, the CBOE Volatility Index (VIX 12.10, -0.13) hovers below its lowest close of the year, suggesting participants have reduced some of their hedges.

10:35 am: [BRIEFING.COM]

Gold and silver rallied this morning, while the dollar index dropped, following retail sales data
Both precious metals have since inched lower. June gold is now -0.02% at $1295.60/oz, while July silver is -0.1% at $19.53/barrel
Crude oil rallied overnight from its current LoD of $100.36/barrel, pushing just over $1 higher to the current HoD of $101.49/barrel.
June crude has held more than half of its gains and is now +0.5% at $101.08/barrel.
Natural gas put in a small rally late in the overnight session, but lost its gains. June natural gas is now -0.2% at $4.42/MMBtu.

10:00 am: [BRIEFING.COM] The S&P 500 (+0.1%) has made its first appearance above the 1900 level before slipping from its session high.

Just reported, March business inventories rose 0.4%, which matched the Briefing.com consensus. This followed the prior month's revised increase of 0.5% (from 0.4%).

9:40 am: [BRIEFING.COM] The major averages began the session on a higher note, but the Nasdaq Composite was quick to slip into the red before rejoining the Dow and S&P 500 in the green.

The S&P 500 trades right above its flat line as most sectors are little changed. Yesterday's laggards, energy (+0.2%) and utilities (+0.4%) are among the early leaders, while telecom services (-0.8%) and financials (-0.1%) lag.

Treasuries have extended their gains with the 10-yr yield slipping below 2.62%.

9:14 am: [BRIEFING.COM] S&P futures vs fair value: +2.80. Nasdaq futures vs fair value: +6.20. The stock market is on track for a modestly higher open, but index futures have been knocked from their highs by a disappointing Retail Sales report for April.

Retail sales increased 0.1% in April after increasing an upwardly revised 1.5% (from 1.2%) in March. The Briefing.com consensus expected retail sales to increase 0.3%. Expectations of strong GDP growth in the second quarter were predicated on the unleashing of pent-up demand from weather-related delays. So far, that has not happened. Instead, sales growth has trended in-line with income gains. The April Employment report showcased a 0.2% increase in aggregate earnings, which translated into a 0.1% increase in retail sales.

Motor vehicle sales increased 0.6% in April after increasing 3.6% in March. The increase was unexpected considering motor vehicle manufacturers reported a monthly decline in unit demand. Excluding transportation, retail sales were flat after increasing an upwardly revised 1.0% (from 0.7%) in March. The consensus expected these sales to increase 0.6%.

It is worth mentioning that China also reported disappointing retail sales (+11.9% versus 12.2% expected), which represents yet another below-consensus data point from the Middle Kingdom.

Treasuries held modest gains overnight before spiking to highs following the U.S. retail sales report. The benchmark 10-yr yield is lower by four basis points at 2.62%.

The Business Inventories report for March (Briefing.com consensus +0.4%) will cross the wires at 10:00 ET.

8:57 am: [BRIEFING.COM] S&P futures vs fair value: +1.90. Nasdaq futures vs fair value: +4.00. The S&P 500 futures trade two points above fair value.

Asian markets ended mostly higher despite the release of disappointing data from China. Meanwhile, Chinese indices held up well despite the data as speculation about potential easing encouraged investors to demand risk assets; however, it is worth noting government officials have pushed back against additional easing on multiple occasions in recent months.

In economic data:

China's Retail Sales increased 11.9% year-over-year (consensus 12.2%, previous 12.2%), Industrial Production rose 8.7% year-over-year (expected 8.9%, prior 8.8%), and Fixed Asset Investment jumped 17.3% year-over-year (forecast 17.7%, prior 17.6%).
Australia's House Price Index jumped 1.7% quarter-over-quarter (expected 2.9%, prior 3.8%), while Home Loans fell 0.9% month-over-month (consensus 1.1%, previous 2.3%).

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Japan's Nikkei rallied 2.0% as 204 of its 225 components posted gains. Industrial names ended among the leaders with Isuzu Motors, Shimizu and Fujikura up between 6.4% and 7.8%.
Hong Kong's Hang Seng added 0.4% and was underpinned by property names. China Resources Land, China Overseas Land, and Sino Land jumped between 3.4% and 5.3%. On the downside, consumer names Want Want China Holdings and Li & Fung lost 1.3% and 1.1%, respectively.
China's Shanghai Composite shed 0.1%, lagging amid weakness in some energy names. Shenyang Jinshan Energy and Yunnan Coal Energy fell 10.0% and 5.1%, respectively.


Major European indices trade mostly higher, while Italy's MIB (-1.0%) lags. Investors received several data points including a disappointing ZEW survey from Germany, but the sharp decline was attributed to low expectations about the economy's ability to remain on the pace that was set during the first quarter.

Eurozone ZEW Economic Sentiment fell to 55.2 from 61.2 (expected 63.5).
Germany's ZEW Economic Sentiment tumbled to 33.1 from 43.2 (expected 41.0), while ZEW Current Conditions improved to 62.1 from 59.5 (consensus 60.5). Separately, Wholesale Price Index ticked up 0.2% month-over-month (expected -0.1%, previous 0.0%).
French Current Account deficit widened to EUR1.50 billion from EUR1.40 billion.
Italy's CPI rose 0.2% month-over-month, while the year-over-year reading increased 0.6%. Both figures met expectations.

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Great Britain's FTSE is higher by 0.1% with consumer names in the lead. Barratt Developments, Persimmon, and ITV are all up between 1.8% and 2.9%. On the downside, easyJet is lower by 4.5% following cautious guidance.
In France, the CAC trades up 0.2%. Airbus Group leads with a gain of 6.0% after beating earnings estimates. Financials lag with BNP Paribas and Societe Generale down 0.6% and 1.5%.
Germany's DAX holds an advance of 0.6% as 21 of 30 components trade in the green. Steelmaker ThyssenKrupp leads with a gain of 4.9% after raising its profit outlook. Utilities lag with E.ON and RWE down 1.4% and 0.5%, respectively.
Italy's MIB trades down 1.0% as Telecom Italia weighs. The stock holds a loss of 4.7% after reporting disappointing earnings.

8:33 am: [BRIEFING.COM] S&P futures vs fair value: +2.00. Nasdaq futures vs fair value: +3.70. The S&P 500 futures trade two points above fair value.

April retail sales rose 0.1%, while the Briefing.com consensus expected an increase of 0.3%. The prior month's reading was revised to reflect an increase of 1.5% (from +1.2%). Excluding autos, retail sales were unchanged against the 0.6% increase expected by the consensus.

Export prices, excluding agriculture, fell 1.2% in March after increasing 0.8% in the prior reading. Excluding oil, import prices were unchanged, which followed last month's uptick of 0.3%.

7:59 am: [BRIEFING.COM] S&P futures vs fair value: +4.20. Nasdaq futures vs fair value: +9.50. U.S. equity futures hold gains amid upbeat action overseas. The S&P 500 futures hover four points above fair value.

Reviewing overnight developments:

Asian markets ended mixed. China's Shanghai Composite -0.1%, Hong Kong's Hang Seng +0.4%, and Japan's Nikkei +2.0%.
In economic data:
China's Retail Sales increased 11.9% year-over-year (consensus 12.2%, previous 12.2%), Industrial Production rose 8.7% year-over-year (expected 8.9%, prior 8.8%), and Fixed Asset Investment jumped 17.3% year-over-year (forecast 17.7%, prior 17.6%).
Australia's House Price Index jumped 1.7% quarter-over-quarter (expected 2.9%, prior 3.8%), while Home Loans fell 0.9% month-over-month (consensus 1.1%, previous 2.3%).
In news:
Chinese indices held up well despite the disappointing data released overnight as speculation about potential easing encouraged investors to demand risk assets; however, it is worth noting government officials have pushed back against additional easing on multiple occasions in recent months.

Major European indices trade mostly higher. Great Britain's FTSE +0.2%, France's CAC +0.3%, and Germany's DAX +0.7%. Elsewhere, Italy's MIB -0.7% and Spain's IBEX +0.2%.
Investors received several data points:
Eurozone ZEW Economic Sentiment fell to 55.2 from 61.2 (expected 63.5).
Germany's ZEW Economic Sentiment tumbled to 33.1 from 43.2 (expected 41.0), while ZEW Current Conditions improved to 62.1 from 59.5 (consensus 60.5). Separately, Wholesale Price Index ticked up 0.2% month-over-month (expected -0.1%, previous 0.0%).
French Current Account deficit widened to EUR1.50 billion from EUR1.40 billion.
Italy's CPI rose 0.2% month-over-month, while the year-over-year reading increased 0.6%. Both figures met expectations.
In news:
The sharp decline in Germany's ZEW Economic Sentiment survey was attributed to low expectations about the economy's ability to remain on the pace that was set during the first quarter.

In U.S. corporate news:

Elizabeth Arden (RDEN 30.21, -5.42): -15.2% after missing analyst estimates by a wide margin. The company reported earnings $0.85 below its Capital IQ consensus estimate on revenue that was also below expectations. The company announced it is exploring strategic alternatives to accelerate its growth.
DIRECTV (DTV 90.70, +3.56): +4.1% amid reports the potential deal with AT&T (T 36.48, -0.09) would result in a purchase price close to $100 per share.
Halozyme (HALO 8.50, +0.98): +13.0% after news of trial resumption overshadowed its below-consensus earnings and revenue.
Insys Therapeutics (INSY 26.64, -0.99): -3.6% after reporting a bottom-line beat on light revenue.
Rackspace (RAX 31.35, +3.82): +13.9% following its earnings beat on in-line revenue.
Wix.com (WIX 18.50, +1.07): +6.1% after beating on earnings and revenue.

The Retail Sales report for April (Briefing.com consensus +0.3%) and April Import/Export Prices will be released at 8:30 ET, while the Business Inventories report for March (Briefing.com consensus +0.4%) will cross the wires at 10:00 ET.

6:41 am: [BRIEFING.COM] S&P futures vs fair value: +3.50. Nasdaq futures vs fair value: +6.50.

6:41 am: [BRIEFING.COM] Nikkei...14425.44...+275.90...+2.00%. Hang Seng...22352.38...+90.80...+0.40%.

6:41 am: [BRIEFING.COM] FTSE...6855.67...+3.90...+0.10%. DAX...9770.76...+68.40...+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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