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=164Business Hours: 8am - 5pm est (Mon - Fri)
questions@thestrategylab.com (24/7)
http://twitter.com/wrbtrader (24/7)
Attachment:
072214-wrbtrader-Price-Action-Trading-PnL-Blotter-Profit+4710.00.png [ 174.8 KiB | Viewed 399 times ]
click on the above image to view today's performance verification Price Action Trade Performance for Today: Emini TF ($TF_F) futures @
$4,460.00 dollars or +44.60 points, Emini ES ($ES_F) futures @
$250.00 dollars or +5.00 points, Light Crude Oil CL ($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 @ $4,710.00 dollarsRussell 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 @
CMEGroupEuroFX 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=132&t=1844 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.
##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 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 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).
Trading Plan Daily Routine @
http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=242&t=2402 -----------------------------
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 Are Back In 'Vroom Vroom' Mode Attachment:
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click on the above image to view today's price action of key markets NEW YORK (CNNMoney)
A dose of healthy company earnings gave investors extra energy Tuesday.
Here's are the key takeaways:
1. Stocks march ahead: It's hard to keep this market down. The S&P 500 hit another all time high Tuesday before pulling back slightly. It still gained half a percent for the day. The Dow rose 60 points and is within spitting distance of its record close, which occurred last week. The Nasdaq moved higher as well.
2. Major media and tech movers: Apple (AAPL, Tech30) shares were flat in after-hours trading even though the tech giant reported profit and revenue that improved from a year ago. Sales were below analyst predictions and the revenue guidance was lower than expected as well. iPhone and Mac sales were strong points, while iPads and iPods didn't fare as well.
Microsoft (MSFT, Tech30) reported earnings after the bell that came in below expectations, but sales topped forecasts as its commercial cloud revenue doubled. Bing ad revenue was another bright spot with 40% growth. Shares were down slightly after-hours.
Electronic Arts (EA, Tech30)shares rallied in after-hours trading after the video game maker topped earnings estimates.
The internet is king for Comcast (CMCSA), which said in its second quarter earnings report Tuesday that a 15% increase in high speed internet users offset losses from so-called "cord cutters" who are dropping cable TV subscriptions. The stock moved higher on the news. So did shares of Time Warner Cable (TWC), which Comcast has an agreement to buy.
Part of the reason consumers are ditching traditional cable is due to companies like Netfli, (NFLX, Tech30) which now boasts over 50 million members. Still, the stock dipped 5% Tuesday since the company said in its earnings report that U.S. streaming subscriptions were lower compared to the year earlier.
Verizon (VZ, Tech30) also experienced an earnings bump, driven by strong revenues from its wireless and Fios segments. Shares were up modestly Tuesday.
3. Hungry for some earnings: Food and beverage stocks were on the move as some major restaurant chains released second quarter results.
Shares of Chipotle (CMG) skyrocketed 12% after the burrito maker posted earnings late Monday that surged from the year earlier despite higher menu prices.
But McDonald's (MCD) sank after the fast food giant reported second quarter revenue and profit that fell short of expectations due to lower sales in the U.S. and Europe.
Related: McDonald's: People aren't lovin' it anymoreDomino's (DPZ) stock delivered for Wall Street after the pizza delivery service said that earnings grew 17.5%, driven by strong same store sales domestically and internationally.
Investors also got earnings from Coca-Cola (KO) Tuesday to wash down all those restaurant results. But the stock fizzled after saying its earnings for the full year are expected to suffer from unfavorable exchange rates.
4. Bikes and diet supplements: Shares of Herbalife (HLF) jumped over 25% even though a major hedge fund manager held a press conference revealing what he found after a nearly two-year probe into the company's nutrition clubs.
Related: Hedge fund manager crying Herbalife wolf?Pershing Square's Bill Ackman has repeatedly called the company a pyramid scheme. The stock has fallen around 14% this year, but it's still up big since Ackman's short selling campaign against the firm began in December 2012.
Meanwhile Harley Davidson (HOG) shares downshifted after the iconic motorcycle company beat earnings forecasts for the quarter but lowered its full year guidance for bike shipments.
5. Forget about geopolitics: A number of U.S. airlines suspended flights to Tel Aviv after a rocket from Hamas struck near Ben Gurion airport, but that didn't seem to spook investors, as Israel's flagship index, the TA-25, finished slightly higher.
European markets also notched out gains as tensions in Ukraine appeared to ease slightly.
After delays and setbacks, a train carrying the bodies of most of those who died in the MH17 plane crash began moving out of eastern Ukraine.
Still, EU officials are meeting Tuesday to discuss further sanctions against Russia in a bid to end its support for separatist rebels in Ukraine. Western leaders say the bulk of evidence suggests the rebels shot down the Malaysia Airlines plane. Russia's stock market, the MICEX, was up Tuesday, but is still down over 4.5% for the month.
4:15 pm: [BRIEFING.COM] The stock market finished the Tuesday session on an upbeat note with small caps pacing the rally. The Russell 2000 advanced 0.8%, while the S&P 500 added 0.5% with eight sectors ending in the green.
Although geopolitical concerns factored into the modest retreat on Monday, the worries were cast aside today after separatist forces in eastern Ukraine handed over black boxes from MH17 to Malaysian authorities and Secretary of State John Kerry began working on brokering a cease fire in Gaza.
Furthermore, the sentiment was boosted by a slate of mostly better than expected earnings. Notably, Chipotle Mexican Grill (CMG 659.77, +69.84) soared 11.8% after beating estimates and surpassing comparable restaurant sales growth expectations. However, McDonald's (MCD 96.27, -1.28) painted a less upbeat picture with its stock falling 1.3% in reaction to below-consensus earnings and revenue. Elsewhere among consumer discretionary components, Comcast (CMCSA 54.63, +0.81) added 1.5% after reporting better than expected results.
While the discretionary space (+0.5%) contained a fair share of outperformers, energy (+0.8%) and health care (+0.8%) sectors hovered near the lead throughout the session. Energy rallied even as crude oil fell 0.5% to $102.35/bbl, while health care received support from biotechnology. The iShares Nasdaq Biotechnology ETF (IBB 253.68, +2.82) advanced 1.1%.
There was an added headline stir in the health care space as separate judicial rulings at the federal appellate level contradicted each other regarding the legality of subsidies received to help pay for health care via the federal exchanges. The initial ruling from a federal appeals court panel covering Washington D.C. ruled 2-1 that those subsidies are illegal. Soon thereafter, the 4th U.S. Circuit Court of Appeals ruled 3-0 that the subsidies are legal.
Despite the conflicting rulings, the sector held its ground, implying a belief that the initial ruling would not translate into law anytime soon (if at all). The second ruling helped validate that belief and likely set the stage for a review of the rulings by the full circuit court in both areas and potentially the Supreme Court. Unlike health care, other countercyclical sectors could not keep up with the broader market. The telecom services sector (+0.3%) eked out a slim gain, while consumer staples (-0.2%) and utilities (-0.2%) finished in the red.
The consumer staples sector lagged amid weakness in the shares of Coca-Cola (KO 41.19, -1.21). The Dow component lost 2.9% despite reporting a one-cent beat. Like Coca-Cola, another Dow component-United Technologies (UTX 110.86, -2.12)-also settled lower despite beating estimates.
The relative weakness among blue chip listings had little impact on the performance of high-beta names. Chipmakers (PHLX Semiconductor Index +0.7%), biotechnology (IBB +1.1%), and transport stocks (Dow Jones Transportation Average +1.1%) all finished ahead of the broader market, while the Russell 2000 regained its 50- and 100-day averages.
Treasuries retreated in the early morning, but reclaimed their losses during the day. The 10-yr note ended flat with its yield at 2.46%.
Participation was on the light side with less than 600 million shares changing hands at the NYSE.
Economic data included CPI, FHFA Housing Price Index, and Existing Home Sales:
Consumer prices increased 0.3% in June, down from a 0.4% increase in May, which matched the Briefing.com consensus estimate
As expected from the June PPI report, a strong increase in energy prices, up 1.6% in June, was the main catalyst for the overall increase in consumer prices. That was the largest increase in monthly energy costs since December
Gasoline costs rose 3.3% after increasing 0.7% in May
Food prices moderated a bit in June, increasing only 0.1% after growing by at least 0.4% per month since February
Excluding food and energy, core CPI increased 0.1% in June after increasing 0.3% in May, while the consensus expected an increase of 0.2%
The May Housing Price Index from the FHFA rose 0.4%, which followed a revised increase of 0.1% observed during the prior month (from 0.0%)
Existing home sales increased to 5.04 million SAAR in June from an upwardly revised 4.91 million SAAR (from 4.89 million SAAR) in May, while the Briefing.com consensus an increase to 5.00 million SAAR
This was the first time sales exceeded 5.00 million SAAR since October 2013. Still, sales are down 2.3% year-over-year
Tomorrow, the weekly MBA Mortgage Index will be released at 7:00 ET. On the earnings front, participants will be reacting to results from Apple (AAPL 94.72, +0.78), Boeing (BA 129.74, +1.44), and Microsoft (MSFT 44.83, -0.01), among others.
S&P 500 +7.3% YTD
Nasdaq Composite +6.7% YTD
Dow Jones Industrial Average +3.2% YTD
Russell 2000 -0.7% YTD
3:30 pm: [BRIEFING.COM]
Aug gold fell for the first time in five sessions as the dollar index gained strength. The yellow metal popped to a session high of $1316.80 per ounce in early morning action but quickly slipped back into the red. It eventually settled with a 0.7% loss at $1306.10 per ounce.
Sep silver oscillated between positive and negative territory today. It traded as high as $21.12 per ounce after coming off its session low of $20.78 per ounce and settled at $21.00 per ounce, just once cent below the unchanged line.
Aug crude oil brushed a session high of $105.01 per barrel in late afternoon floor trade after touching a session low of $103.87 per barrel. It slipped back into the red heading into the close and settled with a 0.7% loss at $103.89 per barrel.
Aug natural gas extended losses for a fifth consecutive session. It pulled back from a session high of $3.83 per MMBtu and eventually settled at its session low of $3.77 per MMBtu, or 1.8% lower.
3:00 pm: [BRIEFING.COM] The S&P 500 trades higher by 0.4% with one hour remaining in the session. The benchmark index spent the first 90 minutes of action in a steady climb before leveling off around 11:00 ET. Since then, the S&P 500 has been trapped in a two-point range until a recent slip took the index to a new low for the afternoon.
Energy (+0.8%) and health care (+0.8%) began the session in the lead and even though both have surrendered a portion of their gain, the two sectors remain in the lead. Similarly, the top-weighted technology sector (+0.6%) also trades ahead of the broader market.
Interestingly, Treasuries have regained all of their losses and the 10-yr note now holds a modest gain with its yield at 2.46%.
2:30 pm: [BRIEFING.COM] Stocks remain near their highs as the subdued afternoon continues.
Participants received a full slate of quarterly earnings this morning with another set expected this afternoon. The technology sector will be in focus with Apple (AAPL 94.40, +0.46), Microsoft (MSFT 44.75, -0.08), Broadcom (BRCM 38.70, +0.07), and Juniper Networks (JNPR 24.93, +0.48) headlining the list.
Tomorrow morning, the focus will turn to components of the industrial sector with Boeing (BA 129.54, +1.24), Delta Air Lines (DAL 37.72, +0.57), and General Dynamics (GD 118.86, +0.51) on the schedule.
2:00 pm: [BRIEFING.COM] Equity indices have spent the better part of the past three hours near their current levels. The Russell 2000 (+1.0%) continues holding the lead, which puts the small-cap index on track to finish the trading day north of its 50-day and 100-day moving averages.
On Thursday, the Russell 2000 slipped below its 200-day moving average, but surged back above that level on Friday. The index made another brief appearance below the key mark during yesterday's session, but has not looked back today.
Despite the relative strength, the index remains down 3.3% so far in July versus a 1.2% gain for the S&P 500.
1:30 pm: [BRIEFING.COM] There hasn't been a shortage of headlines for market participants to digest today. Most of them have gone down pretty easy, too.
Geopolitical concerns have ebbed for the time being, earnings results continue to be mostly better than expected, and today's economic data revealed that inflation pressures remain in check while existing home sales rose for the third straight month and topped an annual pace of 5.00 mln for the first time since October 2013.
There was an added headline stir in the health care space as separate judicial rulings at the federal appellate level contradicted each other regarding the legality of subsidies received to help pay for health care via the federal exchanges. The initial ruling from a federal appeals court panel covering Washington D.C. ruled 2-1 that those subsidies are illegal. Soon thereafter, the 4th U.S. Circuit Court of Appeals ruled 3-0 that the subsidies are legal.
The health care sector (+1.0%) has led throughout today's session and held up just fine after the initial ruling, implying a belief that the initial ruling wouldn't translate into law anytime soon (if at all). The second ruling helped validate that belief and likely set the stage for a review of the rulings by the full circuit court in both areas and potentially the Supreme Court.
12:55 pm: [BRIEFING.COM] At midday, the major averages hover near their highs with small caps in the lead. The Russell 2000 trades higher by 1.2%, while the S&P 500 sports an advance of 0.6% with nine sectors in the green.
Equities climbed from the start with geopolitical concerns cast to the backburner after separatist forces in eastern Ukraine handed over black boxes from MH17 to Malaysian authorities and Secretary of State John Kerry began working on brokering a cease fire in Gaza.
With those concerns moving away from the spotlight, the stock market was able to rally on the back of a series of quarterly reports that were mostly better than expected. On that note, the likes of Chipotle Mexican Grill (CMG 667.15, +77.22), Texas Instruments (TXN 48.60, -0.57), Verizon (VZ 51.00, +0.30), United Technologies (UTX 110.95, -2.03), Coca-Cola (KO 41.13, -1.27), and Comcast (CMSCA 54.79, +0.97) beat their estimates, while Travelers (TRV 91.22, -4.04) and McDonald's (MCD 95.78, -1.77) missed.
The blue chip Dow (+0.4%) has been pressured by the underperformance of Travelers, United Technologies, and McDonald's, but that relative weakness has not lured money out of high-growth areas like chipmakers and biotechnology.
The PHLX Semiconductor Index is higher by 0.7%, which has provided support to the broader technology sector (+0.9%). Elsewhere, the iShares Nasdaq Biotechnology ETF (IBB 253.94, +3.08) trades up 1.2%, while the health care space (+1.0%) sits in the lead.
On the flip side, another countercyclical sector-consumer staples (-0.1%)-hovers right below its flat line.
Treasuries display slim losses with the 10-yr yield up one basis point at 2.48%.
Economic data included CPI, FHFA Housing Price Index, and Existing Home Sales:
Consumer prices increased 0.3% in June, down from a 0.4% increase in May, which matched the Briefing.com consensus estimate
As expected from the June PPI report, a strong increase in energy prices, up 1.6% in June, was the main catalyst for the overall increase in consumer prices. That was the largest increase in monthly energy costs since December
Gasoline costs rose 3.3% after increasing 0.7% in May
Food prices moderated a bit in June, increasing only 0.1% after growing by at least 0.4% per month since February o Excluding food and energy, core CPI increased 0.1% in June after increasing 0.3% in May, while the consensus expected an increase of 0.2%
The May Housing Price Index from the FHFA rose 0.4%, which followed a revised increase of 0.1% observed during the prior month (from 0.0%)
Existing home sales increased to 5.04 million SAAR in June from an upwardly revised 4.91 million SAAR (from 4.89 million SAAR) in May, while the Briefing.com consensus an increase to 5.00 million SAAR
This was the first time sales exceeded 5.00 million SAAR since October 2013. Still, sales are down 2.3% year-over-year
12:30 pm: [BRIEFING.COM] The major averages remain near their best levels of the trading day with the Russell 2000 (+1.3%) in the lead, while the Dow Jones Industrial Average (+0.4%) lags.
The price-weighted Dow trails the broader market amid weakness in several components that reported below-consensus results since yesterday's closing bell. Most notably, Travelers (TRV 91.38, -3.88) is lower by 4.1% in reaction to its bottom-line miss, while Coca-Cola (KO 41.16, -1.24), DuPont (DD 65.29, -0.25), McDonald's (MCD 95.84, -1.70), and United Technologies (UTX 110.75, -2.23) also hover in the red. Coca-Cola and United Technologies reported bottom-line beats, while McDonald's missed earnings and revenue estimates. For its part, DuPont reported in line with its warning from June 26.
With stocks on highs, the CBOE Volatility Index (VIX 11.95, -0.86) has moved lower as participants increase their exposure to risk.
12:00 pm: [BRIEFING.COM] Equity indices continue receiving broad support with all but one sector-consumer staples-trading in the green.
Even though the market began the trading week on a cautious note, the slim losses from yesterday have already been wiped out. In fact, the S&P 500 is now higher by 0.3% for the week, while the Russell 2000 has added 0.8% since the end of Friday's session. Although the Russell has shown relative strength today, that has not been the case as of late. For the month, the small-cap index is lower by 3.0% versus a 1.3% gain for the S&P 500.
Elsewhere, the 10-yr note has returned into the red after testing its flat line. Currently, the benchmark 10-yr yield is higher by one basis point at 2.48%.
11:30 am: [BRIEFING.COM] The S&P 500 has extended its gain to 0.6% with the health care sector (+1.0%) remaining ahead of the other nine groups.
Unlike the health care space, all of the remaining countercyclical sectors trail the broader market. The telecom services sector (+0.1%) continues holding a slim gain with Verizon (VZ 50.83, +0.13) up 0.2% in reaction to its earnings beat, while consumer staples (-0.2%) and utilities (-0.02%) hover in the red.
Notably, the staples sector has been pressured by Coca-Cola (KO 41.09, -1.31). The beverage giant holds a loss of 3.1% after beating earnings estimates on below-consensus revenue.
10:55 am: [BRIEFING.COM] The stock market has padded its gain with the Russell 2000 maintaining the lead. The small cap index is now higher by 1.1%, while the S&P 500 trades up 0.5%.
Energy (+0.8%) and health care (+1.0%) opened in the lead, but the energy sector has slipped from its early high, giving way to the technology sector (+0.9%). The top-weighted S&P 500 group has benefitted from strength among influential components like IBM (IBM 193.82, +2.97) and Google (GOOGL 607.40, +8.96), while chipmakers are struggling to keep up. The PHLX Semiconductor Index is higher by 0.7%.
Unlike chipmakers, the high-beta biotech group has shown strength as the iShares Nasdaq Biotechnology ETF (IBB 253.67, +2.81) trades higher by 1.1%.
10:30 am: [BRIEFING.COM]
WTI crude oil sold off from its morning high of $105.25/barrel and just hit a new LoD of $104.11/barrel minutes ago.
The Aug contract is now -0.3% at $104.33/barrel
Aug nat gas sold off this morning and fell as low as $3.80/MMBtu.
The energy component has been slowly inching higher and is now -0.3% at $3.83/MMBtu
Gold and silver have been selling off in recent trade, a move that comes after erasing morning losses
Aug gold is now -0.7% at $1305.40/oz, while Sept silver is -0.5% at $20.91/oz
Sept copper is +0.8% at $3.22/lb and has been in positive territory all day so far, holding steady.
Dollar index is back near its HOD, now +0.3% at 80.80
10:00 am: [BRIEFING.COM] The S&P 500 trades higher by 0.5%.
Just reported, existing home sales hit an annualized rate of 5.04 million units in June, while the Briefing.com consensus expected a reading of 5.00 million. The pace for June was up from the prior month's revised rate of 4.91 million units (from 4.89 million).
9:45 am: [BRIEFING.COM] As expected, the major averages began the session on a strong note with small caps in the lead. The Russell 2000 is higher by 0.6%, while the S&P 500 trades up 0.3% with eight sectors in the green.
Energy (+0.9%) and health care (+0.8%) have grabbed the early lead, while industrials (+0.6%) and technology (+0.6%) follow not far behind. On the flip side, countercyclical consumer staples (-0.3%) and telecom services (-0.3%) hold modest losses.
Also of note, transport stocks have shown noteworthy strength and the Dow Jones Transportation Average currently trades higher by 0.8%.
Treasuries remain little changed with the 10-yr yield at 2.47%.
The Existing Home Sales report for June will be released at 10:00 ET (Briefing.com consensus 5.00 million).
9:15 am: [BRIEFING.COM] S&P futures vs fair value: +6.80. Nasdaq futures vs fair value: +18.70. The stock market is on track for an upbeat open with futures on the S&P 500 trading just below their best levels of the morning (seven pts above fair value). Futures held slim gains during the early part of the night, but climbed to highs shortly after markets in Europe opened for business. Like U.S. futures, European markets trade near their best levels of the day with earnings in focus.
Domestically, participants have also been responding to earnings with a full slate of companies reporting their results today. Notably, Chipotle Mexican Grill (CMG 654.03, +64.10) is indicated to open higher by 10.9% after beating estimates. On the flip side, Dow component McDonald's (MCD 95.35, -2.20) is on track to begin the session with a 2.3% loss in reaction to its below-consensus results.
Outside of McDonald's, another Dow component, Travelers (TRV 92.63, -2.63), also reported below-consensus earnings, while Coca-Cola (KO 41.37, -1.03) and Verizon (VZ 50.94, +0.24) beat by one cent each. Also of note, United Technologies (UTX 113.49, +0.51) surpassed estimates and DuPont (DD 65.70, +0.16) reported in line with its warning from June 26.
On the economic front, consumer prices increased 0.3% in June, down from a 0.4% increase in May. The Briefing.com consensus expected the CPI to increase 0.3%. As expected from the June PPI report, a strong increase in energy prices, up 1.6% in June, was the main catalyst for the overall increase in consumer prices. That was the largest increase in monthly energy costs since December. Gasoline costs rose 3.3% after increasing 0.7% in May. Food prices moderated a bit in June. Prices increased only 0.1% after growing by at least 0.4% per month since February. Excluding food and energy, core CPI increased 0.1% in June after increasing 0.3% in May. The consensus expected core prices to increase 0.2%.
Treasuries are little changed with the 10-yr yield at 2.47%.
9:04 am: [BRIEFING.COM] S&P futures vs fair value: +5.90. Nasdaq futures vs fair value: +17.70. The S&P 500 futures trade six points above fair value.
The May Housing Price Index from the FHFA rose 0.4%, which followed a revised increase of 0.1% observed during the prior month (from 0.0%).
8:58 am: [BRIEFING.COM] S&P futures vs fair value: +6.70. Nasdaq futures vs fair value: +18.50. The S&P 500 futures trade seven points above fair value.
The major Asian indices ended on a higher note. The Japanese government lowered its 2014 growth forecast to 1.2% from 1.4%, citing weak demand from emerging markets. Elsewhere, Reserve Bank of Australia Governor Glenn Stevens reiterated the central bank's view that a period of stable rates is likely, and that animal spirits are needed to help the real economy.
Economic data was limited:
Japan's All Industries Activity Index rose 0.6% month-over-month (forecast 0.7%; prior -4.6%)
Taiwan's unemployment rate held at 4.0%
------
Japan's Nikkei added 0.8%, finishing just shy of six-month highs as traders returned to work following the extended holiday weekend. The weaker yen provided a boost for exporters as Honda Motor climbed 0.5% and Canon added 0.3%.
Hong Kong's Hang Seng surged 1.7% to an eight-month high. Real estate developers led the way on word more cities were easing restrictions. China Overseas Land & Investment and China Resources Land rallied 4.4% and 3.2%, respectively.
China's Shanghai Composite rose 1.0%, finishing at its best level in over a month. Automakers provided support after Beijing once again promoted electric and hybrid vehicles. BYD jumped 5.6% to lead the space higher.
Major European indices trade higher across the board, attempting to recoup yesterday's losses, while regional foreign ministers are expected to discuss additional sanctions against Russia.
Participants received just three data points:
Switzerland's trade surplus narrowed to CHF1.377 billion from CHF2.849 billion (forecast CHF2.970 billion)
CBI Industrial Trends Orders in Great Britain fell to 2 from 11 (forecast 8) and Public Sector Net Borrowing came in at GBP9.51 billion (expected GBP9.20 billion; previous GBP11.86 billion)
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Great Britain's FTSE trades higher by 0.9% with ARM Holdings in the lead. The chipmaker trades up 4.9% after reporting in-line results. Staple stocks underperform with Tesco, J Sainsbury, and WM Morrison Supermarkets down between 0.9% and 3.7%.
Germany's DAX holds an advance of 0.9%. Conglomerate Siemens outperforms with an increase of 1.7%, while Infineon Technologies follows not far behind (+1.6%). Adidas lags, down 0.8%.
In France, the CAC is higher by 1.0%. Oil companies lead with Technip and Total up 2.7% and 2.0%, respectively. Publicis Groupe is lower by 5.2% following disappointing results.
Italy's MIB is higher by 1.7% amid broad strength. Banco Popolare, Pirelli, and Saipem are up between 2.5% and 3.4%.
8:32 am: [BRIEFING.COM] S&P futures vs fair value: +7.00. Nasdaq futures vs fair value: +19.20. The S&P 500 futures trade seven points above fair value.
Total CPI increased 0.3% (Briefing.com consensus +0.3%) in June while core CPI, which excludes food and energy, increased 0.1% (Briefing.com consensus +0.2%). On a year-over-year basis, total CPI is up 2.1% and core CPI is up 1.9%.
7:56 am: [BRIEFING.COM] S&P futures vs fair value: +4.30. Nasdaq futures vs fair value: +14.70. U.S equity futures trade near their pre-market highs amid upbeat action overseas. The S&P 500 futures hover four points above fair value.
Reviewing overnight developments:
Asian markets ended on a higher note. Japan's Nikkei +0.8%, China's Shanghai Composite +1.0%, and Hong Kong's Hang Seng +1.7%
Economic data was limited:
Japan's All Industries Activity Index rose 0.6% month-over-month (forecast 0.7%; prior -4.6%)
In news:
Japan cut its GDP forecast to 1.2% from 1.4%, which had been expected
Major European indices trade higher across the board. Great Britain's FTSE +0.8%, Germany's DAX +0.8%, and France's CAC +0.8%. Elsewhere, Italy's MIB +1.3% and Spain's IBEX +1.0%
Economic data was limited:
Switzerland's trade surplus narrowed to CHF1.377 billion (forecast CHF2.970 billion; prior CHF2.849 billion)
CBI Industrial Trends Orders in Great Britain fell to 2 from 11 (forecast 8) and Public Sector Net Borrowing came in at GBP9.51 billion (expected GBP9.20 billion; previous GBP11.86 billion)
Among news of note:
European markets are recouping a portion of yesterday's loss while regional foreign ministers are expected to discuss additional sanctions against Russia
In U.S. corporate news:
Chipotle Mexican Grill (CMG 652.00, +62.07): +10.5% after beating estimates and surpassing comparable restaurant sales growth expectations
Netflix (NFLX 455.09, +3.14): +0.7% following its in-line quarterly report
Texas Instruments (TXN 48.90, -0.27): -0.6% despite beating estimates and guiding in line with expectations
Coca-Cola (KO 42.00, -0.40): -0.9% in reaction to its one-cent beat on below-consensus revenue
DuPont (DD 65.61, +0.07): +0.1% after reporting results in line with its June 26 warning. The company guided Q3 earnings below consensus and boosted its quarterly dividend to $0.47/share
Travelers (TRV 92.10, -3.16): -3.3% after missing the Capital IQ consensus estimate by $0.14
United Technologies (UTX 114.00, +1.02): +0.9% following its above-consensus results and improved guidance
Verizon (VZ 50.22, -0.48): -1.0% despite reporting a one-cent beat on better than expected revenue
CPI data for June (Briefing.com consensus 0.3%) and core CPI data (Briefing.com consensus 0.2%) will be released at 08:30 ET. The FHFA Housing Price Index for May (prior 0.0%) and the Existing Home Sales report for June (Briefing.com consensus 5.00 mln) will follow at 09:00 and 10:00 ET, respectively.
6:46 am: [BRIEFING.COM] S&P futures vs fair value: +3.50. Nasdaq futures vs fair value: +11.50.
6:46 am: [BRIEFING.COM] Nikkei...15343.28...+127.60...+0.80%. Hang Seng...23782.11...+395.00...+1.70%.
6:46 am: [BRIEFING.COM] FTSE...6783.68...+55.20...+0.80%. DAX...9694.87...+82.80...+0.90%.
Special thanks to Bloomberg, CNNMoney, Reuters and Yahoo! Finance for their market summaries. Best Regards,
M.A. Perry
Trader and Founder of
WRB Analysis (wide range body/bar analysis)
@ http://twitter.com/wrbtrader @ http://stocktwits.com/wrbtraderhttp://www.thestrategylab.com Phone: +1 708 572-4885
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