TheStrategyLab.com Price Action Trading Support Forum

Forum for price action traders that want to learn WRB Analysis basic tutorial chapters 1, 2 and 3 prior to purchasing our advance trade methods. Hashtags: #wrbanalysis #wrbzone #wrbhiddengap #priceaction #trading
It is currently Thu Mar 28, 2024 7:13 pm

All times are UTC - 5 hours [ DST ]




Post new topic Reply to topic  [ 1 post ] 
Author Message
 Post subject: October 3rd Friday Trade Results - Profit $1290.00
PostPosted: Fri Oct 03, 2014 1:29 pm 
Offline
Site Admin

Joined: Sat Jan 10, 2009 2:06 pm
Posts: 4335
Location: Canada
Image

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

Attachment:
100314-wrbtrader-Price-Action-Trading-PnL-Blotter-Profit+1290.00.png
100314-wrbtrader-Price-Action-Trading-PnL-Blotter-Profit+1290.00.png [ 175.41 KiB | Viewed 375 times ]

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

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $1,290.00 dollars or +12.90 points, Emini ES ($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 @ $1,290.00 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=135&t=1903

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=248&t=2530

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

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.

Attachment:
100314-Key-Price-Action-Markets.png
100314-Key-Price-Action-Markets.png [ 1.6 MiB | Viewed 339 times ]

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

4:10 pm: [BRIEFING.COM] The major averages finished a defensive week on an upbeat note. The S&P 500 gained 1.1% with nine sectors ending in the green. The rally helped the benchmark index narrow this week's decline to 0.8% after being down near 3.0% at its lowest point on Thursday.

Equities received a morning boost after the Nonfarm Payrolls report for September sailed past expectations. According to the Bureau of Labor Statistics, payrolls grew by 248,000, which was well ahead of the Briefing.com consensus estimate (210,000). The unemployment rate fell to 5.9% from 6.1%, but that resulted from a drop in the labor force participation rate.

The strong report underpinned equities and sent the Dollar Index (86.66, +1.06) to a fresh four-year high. The greenback strength weighed on commodities, resulting in a 1.4% drop in crude oil ($89.76/bbl) and a 1.8% decline in gold futures ($1192.90/ozt). The losses in the commodity space pressured the two commodity-related sectors, while the remaining cyclical groups posted gains of 0.8% or more.

Meanwhile, the energy sector (unch) underperformed throughout the session and was down near 1.0% during morning action. The growth-sensitive sector was able to return to its flat line, but could not avoid registering a 3.8% decline for the week.

Similarly, the materials sector (+0.3%) ended the week in-line with energy amid pressure from miners and steelmakers. The Market Vectors Gold Miners ETF (GDX 20.63, -0.99) fell 4.6%, while the Market Vectors Steel ETF (SLX 42.83, -0.84) tumbled 1.9% with Cliffs Natural Resources (CLF 8.32, -1.68) pacing the slide. The steel company plunged 16.8% following a Nomura downgrade to 'Reduce' from 'Buy.'

Elsewhere among cyclical groups, consumer discretionary (+1.3%) and financials (+1.5%) displayed strength throughout the session, while the technology sector (+0.8%) ended a bit behind the market. The top-weighted sector component-Apple (AAPL 99.62, -0.28)-acted as a drag, while chipmakers could not keep up with the market either. The PHLX Semiconductor Index added 0.6%, but registered a 3.1% loss for the week.

The underperformance of chipmakers did not reflect the strength in other high-beta areas. The Dow Jones Transportation Average surged 2.1% back to unchanged for the week, while biotech stocks sent the iShares Nasdaq Biotechnology ETF (IBB 275.33, +6.74) higher by 2.5%. Conversely, the health care sector (+2.0%) spent the entire session in the lead. Shares of Mylan Labs (MYL 50.23, +3.73) contributed to the strength after the company raised its guidance.

Treasuries slumped following the jobs data, but returned to their early morning levels by the close. The 10-yr note shed four ticks, adding one basis point to its yield (2.44%), while the long bond posted a modest gain, lowering its yield by one basis point to 3.13%.

Today's participation was ahead of average with more than 796 million shares changing hands at the NYSE.

Economic data included Nonfarm Payrolls, Trade Balance, and ISM Services:

Nonfarm payrolls added 248,000 jobs in September following an upwardly revised 180,000 (from 142,000) gain in August, while the Briefing.com consensus expected an increase of 210,000
Stripping out government jobs, private payrolls added 236,000 jobs in September (consensus 205,000) after adding an upwardly revised 175,000 (from 134,000) in August
The hourly workweek ticked up to 34.6 hours from 34.5 hours and hourly earnings growth was flat
While the unemployment rate fell to 5.9% from 6.1%, which easily beat consensus expectations of 6.1%, much of the gain came from the 97,000 person decline in the labor force. Had the participation rate remained at August levels, the unemployment rate would have remained at 6.1%
The U.S. trade deficit fell to $40.10 billion in August from a downwardly revised $40.30 billion (from $40.50 billion) in July, while the Briefing.com consensus expected an increase to $40.90 billion
The goods deficit increased to $59.90 billion in August from $59.80 billion in July and the services surplus increased to $19.80 billion from $19.50 billion
The ISM Non-manufacturing Index fell to 58.6 in September from 59.6 in August, while the Briefing.com consensus expected a drop to 58.9
Even though the index declined in September, the trends show robust economic growth with both business activities/production (62.9 from 65.0) and new orders (61.0 from 63.8) remaining above 60

There is no economic data on Monday's schedule.

Nasdaq Composite +7.2% YTD
S&P 500 +6.5% YTD
Dow Jones Industrial Average +2.6% YTD
Russell 2000 -5.0% YTD

Week in Review: Stocks Slide as Q3 Ends

The stock market began the new week on a cautious note. The S&P 500 lost 0.3%, but managed to erase more than half of its opening decline. Thanks to the rebound, the benchmark index reclaimed its 50-day moving average (1976.78) after slipping below that level in the morning. Equities slumped at the open amid a couple global developments that dampened the overall risk appetite. Continued student protests in Hong Kong and a potential response from China weighed on the Hang Seng index (-1.9%), while other regional indices held up relatively well with Japan's Nikkei (+0.5%) and the Shanghai Composite (+0.4%) posting gains. Meanwhile in Europe, participants showed concerns about the Catalan independence referendum scheduled to take place on November 9. However, a twist was introduced to the story during the afternoon when the Spanish Constitutional Court announced it will block the independence vote.

On Tuesday, the market finished the third quarter on a defensive note with small caps leading the retreat. The S&P 500 shed 0.3% to narrow its Q3 gain to 0.6%, while the Russell 2000 (-1.5%) widened its quarterly loss to 7.9%. The retreat represented the second consecutive decline for the benchmark index, which registered a September loss of 1.6%. The S&P 500 displayed modest strength in the early going with help from influential sectors like technology (+0.2%), financials (-0.2%), and industrials (-0.1%), but slid from highs amid significant weakness in the two commodity-related sectors. Most notably, the energy space (-1.2%) widened its Q3 loss to 9.2% and was pressured by a 3.6% decline in crude oil, which fell to $91.16/bbl, registering a 13.6% loss for the quarter.

The stock market began October and the fourth quarter with a retreat. The major averages spent the day in a steady decline with the Nasdaq Composite leading the slide. The tech-heavy index lost 1.6%, while the S&P 500 (-1.3%) sliced through its 100-day moving average (1958) with nine sectors ending in the red. Equities were pressured from the start with a disappointing set of Manufacturing PMI figures from the eurozone weighing on sentiment. The region-wide reading slipped to 50.3 (expected 50.5) and was driven in part by Germany's decline to 49.9 from 50.3 (consensus 50.3). Once the U.S. session got going, the key indices slumped amid early weakness in the industrial sector (-1.9%). In turn, the growth-sensitive group suffered from notable losses in airlines, stemming from concerns about the first case of Ebola in the United States. Delta Air Lines (DAL) and Southwest Airlines (LUV) both lost near 3.5%, while the Dow Jones Transportation Average tumbled 2.5%.

The major averages ended the Thursday session on a flat note despite showing broad-based weakness in the early going. The S&P 500 ended unchanged with four sectors in the green. Equity indices started the day near their flat lines, but commenced their retreat once European Central Bank President Mario Draghi concluded his press conference without providing much detail about the central bank's ABS purchases. Furthermore, Mr. Draghi did not hint at plans for sovereign bond purchases, which had been the subject of conversation in recent weeks. To that point, diminished prospects of a full-scale QE program weighed on markets in Italy (-3.9%) and Spain (-3.1%) with bank shares leading the retreat. As for the U.S., equities slumped across the board in the morning, but staged an impressive reversal after reaching short-term oversold conditions just ahead of 12:00 ET. At that time, the S&P 500 hit its session low of 1925.93 and the TICK reading at the NYSE neared -1500-a level typically associated with excessive selling.

3:25 pm: [BRIEFING.COM]

Dec Gold sold-off on jobs data that came in at the top of the estimated range, sharply selling off immediately after the release 10 min after the pit open. The yellow metal trended lower throughout the session, ending the day off 1.82% to bring the weekly decline to 2.2%. Today marked the first day this year the precious metal dropped below $1,200/oz, nearing June 2013 lows.
Dec silver took another leg lower, reaching levels untouched since early 2010 as it tumbled 1.17% for the pit session today, bringing the weekly decline to 4.65% creating fresh 4-year lows.
Nov crude also trended lower throughout both the session and the week, falling 1.37% and 1.15% respectively. Crude peaked at a high of $94.90/bbl on Tuesday and steadily sold off the rest of the week.
Nov Natural Gas peaked at $4.184/MMBtu on Wednesday, reaching a low of $3.908 on Thursday following inventory data, but today's strength pared some losses, bringing the weekly decline to 2.54%. Natural gas closed near its HoD, and the 50 DMA on the daily chart now appears to be flattening out.

2:55 pm: [BRIEFING.COM] The S&P 500 trades higher by 1.2% with one hour remaining in the final session of the week. Despite today's solid gain, the index is still on track to post a weekly loss (-0.7%), but that represents an improvement from yesterday's lowest point when the index was down 2.9% for the week.

Today's surge has sent the S&P 500 back above its 100-day moving average (1959.51), while the 50-day average (1974.80) lurks roughly five points above the current level.

Also of note, the Dollar Index (86.67, +1.07) heads into the final hour of action near its session high.

2:30 pm: [BRIEFING.COM] The major averages remain near their highs with the health care sector (+2.0%) holding the lead. The third-largest sector by weight jumped into the lead at the start of the session and has not relinquished that spot with biotechnology providing significant support.

The iShares Nasdaq Biotechnology ETF (IBB 275.33, +6.74) is higher by 2.5%. The health care sector is the only group that sports an advance near 2.0%, while the next-best performer-consumer discretionary-has added 1.5%.

Elsewhere, Treasuries have returned to their morning levels. The 10-yr note has cut its loss to five ticks with the benchmark yield at 2.44%.

2:00 pm: [BRIEFING.COM] Afternoon action continues with the S&P 500 (+1.1%) trading just below its session high that was notched at 13:00 ET.

Today's nonfarm payrolls report for September capped a busy week of data that featured September Consumer Confidence (92.0; Briefing.com consensus 93.4), Chicago PMI (61.5; consensus 64.3), and the ISM Index (58.5; consensus 59.0), among others.

Next week will see a bit of a slowdown on the economic front with no data scheduled for Monday. Most notably, the FOMC Minutes from the September meeting will be released on Wednesday at 14:00 ET. Investors will comb through the release in search of clues indicating a possible shift in expectations for the first rate hike.

1:25 pm: [BRIEFING.COM] The stock market has put its best foot forward today, rallying sharply in response to the better than expected September employment report.

Every sector is up, every Dow component is up, and the price for portfolio protection, seen through the CBOE Volatility Index (VIX 14.52, -1.64), has collapsed.

It has been an about face from Wednesday when the market reportedly came unglued due to the Ebola scare, dollar strength, and growth concerns surrounding Europe and China. What can be gleaned from today's upside action is that Wednesday's downside action was not what it was made out to be.

To wit, the Ebola issue has gotten worse, not better, since Wednesday; the US Dollar Index is up 1.3% today; and data from China today showed its Services PMI fell to an eight-month low while data from the eurozone showed its composite PMI fell to a ten-month low.

Same issues, different day, and a much different result that is likely being helped along by some short-covering activity.

1:00 pm: [BRIEFING.COM] The major averages hold solid midday gains with the Dow, Nasdaq, S&P 500, and Russell 2000 all up near 1.2%. The benchmark index has narrowed this week's loss to 0.7% with all ten sectors trading in the green.

Equity indices received an opening boost after the Nonfarm Payrolls report for September surpassed expectations. According to the jobs data, payrolls grew by 248,000, which was well ahead of the Briefing.com consensus estimate (210,000). The unemployment rate fell to 5.9% from 6.1%, but that was a result of a drop in the labor force participation rate.

The strong report boosted equities and sent the Dollar Index (86.67, +1.07) to a fresh four-year high. In turn, commodities retreated with crude oil sliding below the $90.00/bbl mark. The energy component is lower by 1.5% at $89.66/bbl, while the energy sector (+0.4%) has returned into the green after showing a loss close to 1.0% earlier.

Outside of energy, most of the remaining cyclical groups trade ahead of the market, but technology (+0.9%) has been held back by the shares of Apple (AAPL 99.85, -0.05). As for high-beta chipmakers, the PHLX Semiconductor Index (+0.9%) trades a bit behind the broader market.

Elsewhere, the high-growth biotechnology group has rallied steadily since the start. The iShares Nasdaq Biotechnology ETF (IBB 275.18, +6.59) is higher by 2.5%, while the health care sector (+2.0%) sits in the lead. Mylan Labs (MYL 50.25, +3.75) has also given a boost to health care through its improved guidance for Q3.

Treasuries slumped to lows following today's jobs report, but the long bond has recovered its early loss. Meanwhile, the 10-yr note remains lower by nine ticks with its yield up three basis points at 2.46%.

Economic data included Nonfarm Payrolls, Trade Balance, and ISM Services:

Nonfarm payrolls added 248,000 jobs in September following an upwardly revised 180,000 (from 142,000) gain in August, while the Briefing.com consensus expected an increase of 210,000
Stripping out government jobs, private payrolls added 236,000 jobs in September (consensus 205,000) after adding an upwardly revised 175,000 (from 134,000) in August
The hourly workweek ticked up to 34.6 hours from 34.5 hours and hourly earnings growth was flat
While the unemployment rate fell to 5.9% from 6.1%, which easily beat consensus expectations of 6.1%, much of the gain came from the 97,000 person decline in the labor force. Had the participation rate remained at August levels, the unemployment rate would have remained at 6.1%
The U.S. trade deficit fell to $40.10 billion in August from a downwardly revised $40.30 billion (from $40.50 billion) in July, while the Briefing.com consensus expected an increase to $40.90 billion
The goods deficit increased to $59.90 billion in August from $59.80 billion in July and the services surplus increased to $19.80 billion from $19.50 billion
The ISM Non-manufacturing Index fell to 58.6 in September from 59.6 in August, while the Briefing.com consensus expected a drop to 58.9
Even though the index declined in September, the trends show robust economic growth with both business activities/production (62.9 from 65.0) and new orders (61.0 from 63.8) remaining above 60

12:25 pm: [BRIEFING.COM] Quiet action continues with the S&P 500 trading within a point of its best level of the day. Today's advance represents an extension of yesterday's rally off lows in the 1926 area, but the benchmark index remains on track to end the week lower by 0.9%.

Similarly, eight of ten sectors are on pace to register losses for the week with energy (-3.9%) and materials (-3.8%) showing considerable losses. Meanwhile, the four countercyclical sectors have held up well with consumer staples up 0.5% and utilities higher by 1.4%.

On the flip side, health care (-0.2%) and telecom services (-0.1%) display slim losses.

11:55 am: [BRIEFING.COM] Not much change has taken place in the major averages as they continue hovering near their best levels of the day. The S&P 500 (+0.8%) notched a session high at 1967.00 just after 10:00 ET and has spent the better part of the past two hours in a five-point range.

Generally speaking, cyclical sectors have fared very well today with the exception of the two commodity-related groups. The energy sector (-0.5%) has been unable to stay out of the red and is now lower by 4.5% since last Friday. Elsewhere, the materials sector (+0.2%) holds a slim gain, but that represents just a modest rebound for the sector that is still down 3.9% for the week. Miners have contributed to the weakness with the Market Vectors Gold Miners ETF (GDX 20.79, -0.83) down 3.8%.

Steelmakers also lag as evidenced by a 1.5% decline in the Market Vectors Steel ETF (SLX 43.00, -0.67). Notably, Cliffs Natural Resources (CLF 8.67, -1.33) has given up 13.3% after Nomura downgraded the stock to 'Reduce' from 'Buy.'

11:30 am: [BRIEFING.COM] The major averages continue drifting near their highs with eight sectors holding gains.

For the most part, heavily-weighted sectors have taken part in the rally with consumer discretionary (+1.2%), financials (+1.2%), industrials (+0.9%), and health care (+1.7%) pacing the advance. For its part, the technology sector (+0.7%) has struggled to keep up with the market amid a 0.4% decline in shares of Apple (AAPL 99.51, -0.39).

Also of note, the energy sector (-0.7%) has continued its recent underperformance after surrendering its slim morning gain. The sector is now down 4.4% since the start of the week, while crude oil is down 1.7% today ($89.50/bbl) and also lower by 4.4% for the week. Dollar strength has contributed to the decline with the Dollar Index up 1.2% today and higher by 1.1% week to date.

10:55 am: [BRIEFING.COM] Equity indices continue holding solid gains with the S&P 500 trading higher by 0.8%. Small-cap stocks have shown relative strength that has allowed the Russell 2000 (+1.1%) to catch up to the benchmark index for the week. Currently, both indices are down 1.0% since last Friday.

The relative strength among small caps has also given a boost to the Nasdaq Composite (+1.1%) with chipmakers and biotechnology contributing to the outperformance. The PHLX Semiconductor Index trades up 0.9%, while the technology sector (+0.8%) has kept pace with the benchmark index. As for biotechnology, the iShares Nasdaq Biotechnology ETF (IBB 274.66, +6.07) has extended its advance to 2.3%. Conversely, the health care sector (+1.7%) has distanced itself from other economic groups.

Elsewhere, Treasuries have marked new lows with the benchmark 10-yr yield up four basis points at 2.47%.

10:30 am: [BRIEFING.COM] Precious metals are under pressure this morning as the dollar index rallied following the release of strong employment data. Nonfarm payrolls added 248K jobs in Sep following an upwardly revised 180K (from 142K) job gain in Aug. The Briefing.com consensus expected an increase of 210K. The solid report pushed the unemployment rate down to 5.9% (6.1% previous).

Dec gold dipped below $1200 for the first time this year and traded as low as $1992.70 in recent action. It is currently trading at $1193.50, or 1.8% lower.

Dec silver fell as low as $16.64 and is now trading slightly above that level, printing a loss of 1.7% at $16.76.

Nov crude oil gave up overnight gains and is now chopping around in negative territory. It is currently trading at its session low of $89.93, or 1.2% lower.

Nov natural gas, on the other hand, is trading in positive territory. It touched a session high of $3.99 in early morning action and is now up 1.1% at $3.98.

10:00 am: [BRIEFING.COM] The S&P 500 trades higher by 0.9%.

Just released, the ISM Services Index for September fell to 58.6 from 59.6, while the Briefing.com consensus expected a downtick to 58.9.

9:45 am: [BRIEFING.COM] As expected, the major averages began the session on an upbeat note. The S&P 500 trades higher by 0.5% with eight sectors showing early gains.

The health care sector (+1.2%) has claimed the early lead with help from biotechnology. The iShares Nasdaq Biotechnology ETF (IBB 271.31, +2.72) trades higher by 1.0%. Shares of Mylan (MYL 48.62, +2.12) have also contributed to the opening strength.

On the cyclical side, consumer discretionary (+0.6%), financials (+0.7%), and industrials (+0.7%) have jumped out of the gate, while energy (-0.3%) and technology (+0.3%) lag. Notably, the energy sector has extended this week's decline to 4.1%.

Treasuries have inched up from their lows, but remain on the defensive. The 10-yr yield is higher by three basis points at 2.46%.

9:12 am: [BRIEFING.COM] S&P futures vs fair value: +11.00. Nasdaq futures vs fair value: +22.20. The stock market is on track for a sharply higher start to the final session of the week with the S&P 500 futures trading 11 points above fair value. Index futures climbed overnight and saw another spike in recent action after it was reported that nonfarm payrolls grew by 248,000 in September. That was well ahead of the Briefing.com consensus estimate, which expected a reading of 210,000. The unemployment rate fell to 5.9% from 6.1%, representing the first sub-6.0% reading since July 2008.

The jobs report revealed an upward revision to the August reading (+42,000 to 180,000), but hourly earnings showed no growth in September. The jobs report weighed on Treasuries, sending the 10-yr note (-11/32) to a fresh low. The benchmark yield is higher by 4 basis points at 2.47%.

Gold futures have also been pressured by the data. The yellow metal is lower by 1.1% at $1201.50/ozt.

The report has overshadowed the August trade deficit, which narrowed to $40.10 billion from $40.30 billion reported in July (Briefing.com consensus $40.90 billion).

One more data point lingers on the schedule-ISM Services for September (consensus 58.9)-and is set to be reported at 10:00 ET.

On the corporate front, Mylan (MYL 49.19, +2.69) is expected to show early strength after raising its guidance for the third quarter.

9:01 am: [BRIEFING.COM] S&P futures vs fair value: +9.40. Nasdaq futures vs fair value: +20.00. The S&P 500 futures trade nine points above fair value.

Markets rallied across Asia. The student-led pro-democracy protests in Hong Kong reached their eighth day with some escalation occurring as protestors clashed with citizens who support Chinese rule.

Economic data was limited:
China's Non-Manufacturing PMI fell to 54.0 from 54.4
Australia's AIG Services Index fell to 45.4 from 49.4, while HIA New Home Sales rose 3.3% month-over-month (previous -5.7%)

------

Japan's Nikkei added 0.3%, gaining for the first time in four days as trade checked up on the 50-day moving average. Heavyweight Fast Retailing provided support, adding 2.8% after reporting strong sales for the month.
Hong Kong's Hang Seng reopened following the National Day holiday and climbed 0.3%. Real Estate developers saw robust gains as China Overseas Land & Investment and China Resources Land jumped 6.1% and 5.0%, respectively.
China's Shanghai Composite remained closed for Golden Week.
India's Sensex was shuttered for Dussehra.

Major European indices trade higher across the board, while Germany's DAX is closed for National Day. Elsewhere, a poll conducted by the Catalan government indicated nearly 71% support in favor of holding the independence referendum on November 9.

Participants received several data points:
Eurozone Services PMI fell to 52.4 from 52.8 (expected 52.8). Separately, Retail Sales rose 1.2% month-over-month (expected 0.1%; previous -0.4%), while the year-over-year reading increased 1.9% (consensus 0.5%; prior 0.5%)
Germany's Services PMI rose to 55.7 from 55.4 (expected 55.4)
Great Britain's Services PMI fell to 58.7 from 60.5 (consensus 59.1)
France's Services PMI declined to 48.4 from 49.4 (forecast 49.4)
Italy's Services PMI slid to 48.8 from 49.8 (expected 49.6)
Spain's Services PMI eased to 55.8 from 58.1 (expected 57.1)

------

In France, the CAC is higher by 0.7% with Credit Agricole and Societe Generale in the lead. The two banks hold respective gains of 1.7% and 2.3%. Danone is among the laggards, down 1.1%.
Great Britain's FTSE trades up 1.0% with airlines in the lead. EasyJet has jumped 6.1% and International Consolidated Airlines is higher by 2.6%. Tesco trades down 3.5% to continue its recent underperformance.
Italy's MIB is higher by 0.7%. Financials lead with Banco Popolare, BMPS, Intesa Sanpaolo, and UBI Banca up between 1.4% and 2.9%.

8:33 am: [BRIEFING.COM] S&P futures vs fair value: +14.50. Nasdaq futures vs fair value: +32.00. The S&P 500 futures trade 15 points above fair value.

September nonfarm payrolls came in at 248,000, while the Briefing.com consensus expected a reading of 210,000. Nonfarm private payrolls added 236,000 against the 205,000 expected by the consensus. The unemployment rate dropped to 5.9%, while the Briefing.com consensus expected the reading to hold at 6.1%.

Hourly earnings were unchanged, while the Briefing.com consensus expected growth of 0.2%. The average workweek was reported at 34.6, while the consensus expected a reading of 34.5.

Separately, the August trade deficit narrowed to $40.10 billion from $40.30 billion, while the Briefing.com consensus expected the deficit to come in at $40.90 billion.

7:59 am: [BRIEFING.COM] S&P futures vs fair value: +10.50. Nasdaq futures vs fair value: +20.20. U.S. equity futures hold solid gains amid upbeat action overseas. The S&P 500 futures trade 11 points above fair value. However, some volatility is expected around 8:30 ET when the Nonfarm Payrolls report for September (Briefing.com consensus 210K) crosses the wires. In addition to the jobs report, the Trade Balance for August (consensus -$40.90 billion) will also be released at 8:30 ET, while ISM Services for September (consensus 58.9) will be reported at 10:00 ET.

In U.S. corporate news of note:

Cliffs Natural Resources (CLF 9.50, -0.50): -5.0% after Nomura downgraded the stock to 'Reduce' from 'Buy.'
Radio Shack (RSH 1.45, +0.46): +46.5% amid reports the company will reach a $590 million refinancing deal.
Mylan (MYL 49.89, +3.39): +7.3% after raising its guidance for the third quarter.
Salix Pharmaceuticals (SLXP 158.90, +7.81): +5.2% following an upgrade to 'Neutral' from 'Underperform' at Credit Suisse.

Reviewing overnight developments:

Asian markets ended higher. Japan's Nikkei +0.3%, Hong Kong's Hang Seng +0.6%, while China's Shanghai Composite remained closed for Golden Week.
In economic data:
China's Non-Manufacturing PMI fell to 54.0 from 54.4
Australia's AIG Services Index fell to 45.4 from 49.4, while HIA New Home Sales rose 3.3% month-over-month (previous -5.7%)
In news:
Japan's Economy Minister Akira Amari took a softer stance on the second consumption tax increase, suggesting the cabinet is still neutral on the decision.

Major European indices trade higher across the board. France's CAC +0.6%, Great Britain's FTSE +1.0%, while Germany's DAX is closed for National Day. Elsewhere, Italy's MIB +0.7% and Spain's IBEX +1.0%.
Participants received several data points:
Eurozone Services PMI fell to 52.4 from 52.8 (expected 52.8). Separately, Retail Sales rose 1.2% month-over-month (expected 0.1%; previous -0.4%), while the year-over-year reading increased 1.9% (consensus 0.5%; prior 0.5%)
Germany's Services PMI rose to 55.7 from 55.4 (expected 55.4)
Great Britain's Services PMI fell to 58.7 from 60.5 (consensus 59.1)
France's Services PMI declined to 48.4 from 49.4 (forecast 49.4)
Italy's Services PMI slid to 48.8 from 49.8 (expected 49.6)
Spain's Services PMI eased to 55.8 from 58.1 (expected 57.1)
Among news of note:
European equities have rebounded from yesterday's weakness, but Italian banks have only reclaimed a portion of yesterday's sharp decline that sent the MIB lower by 3.9%.
A poll conducted by the Catalan government indicated nearly 71% support in favor of holding the independence referendum on November 9.

6:39 am: [BRIEFING.COM] S&P futures vs fair value: +8.50. Nasdaq futures vs fair value: +16.50.

6:39 am: [BRIEFING.COM] Nikkei...15708.65...+46.70...+0.30%. Hang Seng...23064.56...+131.60...+0.60%.

6:39 am: [BRIEFING.COM] FTSE...6501.26...+54.90...+0.90%. DAX...Holiday.........

Gold Erases Its 2014 Gains After U.S. Employers Add Jobs

By Nicholas Larkin and Joe Deaux Oct 3, 2014 3:09 PM ET

Gold erased this year’s gains after U.S. employers added more jobs in September than forecast, stoking speculation that the Federal Reserve will move closer to raising interest rates. Silver fell to the lowest since 2010.

Futures for December delivery fell as much as 2 percent to $1,190.30 an ounce in New York, the lowest since Dec. 31. Prices that in March were up as much as 16 percent for the year are headed for the first back-to-back annual losses since 1998. The metal tumbled 28 percent last year, the most in three decades.

An accelerating American economy means investors are shunning gold even after the U.S. expanded sanctions against Russia and ramped up its military campaign to combat Islamic State in Iraq. Rising interest rates reduce gold’s allure because the metal generally only offers investors returns through price gains, while a stronger dollar typically cuts demand for a store of value.

“Strengthening payrolls are going to add to the perception that the Fed is going to raise rates sooner,” Charlie Bilello, who helps oversee $220 million as director of research at Pension Partners LLC in New York. “The perception is that a more hawkish Fed is negative for gold.”

Gold futures for December delivery fell 1.8 percent to settle at $1,192.90 an ounce at 1:44 p.m. on the Comex in New York. The metal is down 0.8 percent this year.

The 248,000 gain in payrolls followed a 180,000 August increase that was bigger than previously estimated, the Labor Department said today. The median forecast of economists in a Bloomberg survey called for a 215,000 advance. The unemployment rate fell to the lowest level since July 2008.

Goldman View

Goldman Sachs Group Inc. said yesterday that a stronger U.S. economy is “driving” a bearish gold outlook, maintaining a forecast for prices to reach $1,050 in 12 months.

More than $3.4 billion has been erased from the value of exchange-traded products backed by gold this year, and money managers are holding their smallest bullish bet since January.

“The key driver has been the more likely tightening of U.S. monetary policy, which has been reflected in the stronger dollar,” Robin Bhar, an analyst at Societe Generale SA in London, said yesterday. “Gold doesn’t earn any yield or return. Investors are becoming more disillusioned when it comes to gold.”

Assets in gold-backed ETPs reached the lowest since 2009 yesterday, data compiled by Bloomberg show. Inflation expectations, measured by the five-year Treasury break-even rate, are near the lowest since June 2013.

Silver futures for December delivery fell 1.3 percent to $16.826 an ounce on the Comex, capping a fifth straight weekly loss. The price touched $16.64, the lowest since March 2010.

Palladium futures for December delivery slid 1.8 percent to $754.55 an ounce on the New York Mercantile Exchange. Platinum futures for January delivery dropped 3.4 percent to $1,226.90 an ounce, the biggest decline since June 2013.

To contact the reporters on this story: Nicholas Larkin in London at nlarkin1@bloomberg.net; Joe Deaux in New York at jdeaux@bloomberg.net

To contact the editors responsible for this story: Millie Munshi at mmunshi@bloomberg.net Steve Stroth

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

http://www.thestrategylab.com
Phone: +1 708 572-4885
Business Hours: 8am - 5pm est (Mon - Fri)
Skype Messenger: kebec2002
questions@thestrategylab.com
Go Back To TheStrategyLab.com Homepage


Top
 Profile  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 1 post ] 

All times are UTC - 5 hours [ DST ]


Who is online

Users browsing this forum: No registered users and 2 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to:  
cron
Powered by phpBB © 2000, 2002, 2005, 2007 phpBB Group
Translated by Xaphos © 2007, 2008, 2009 phpBB.fr