TheStrategyLab.com Price Action Trading Support Forum

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


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

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $400.00 dollars or +4.00 points, EuroFX 6E futures @ $0.00 dollars or +0.0000 ticks and Light Crude Oil CL (WTI) futures @ $1,390.00 dollars or +1.39 points. Total Profit @ $1,790.00 dollars.

Russell 2000 Emini TF Futures: 1 tick or 0.10 = $10.00 dollars and there's more contract information @ The ICE
Light Crude Oil CL (WTI) Futures: 1 tick or 0.01 = $10.00 dollars and there's more contract information @ CMEGroup
CME EuroFX 6E Futures: 1 tick or 0.0001 = $12.50 dollars and there's more contract information @ CMEGroup
S&P 500 Emini ES Futures: 1 tick or 0.25 = $12.50 dollars and there's more contract information @ CMEGroup

In addition, all trades were posted real-time in the free #TheStrategyLab chat room. You can read today's #TheStrategyLab trading chat room logs for details (e.g. time, price, contract size) about each one of my trades from entry to exit along with price action commentary as the trade traversed in comparison to what's shown in the above image...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=110&t=1371

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 or position trade.

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 prior to purchasing the Volatility Trading Report (VTR).

Trading Plan Daily Routine @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=195&t=1654

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Market Summaries

The below summaries by Bloomberg, CNNMoney, Reuters and Yahoo! Finance helps me to do a quick review of the fundamentals, FED/ECB/IMF actions or any important global economic events (e.g. Eurozone, MarketWatch.com) that had an impact on today's price action. 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 while using WRB Analysis from one trade to the next trade to give me the market context 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.

U.S. Market Wrap

Nov. 19 (Bloomberg) -- Bloomberg's Deborah Kostroun reports on the performance of the U.S. equity market today. U.S. stocks rose, giving the Standard & Poor’s 500 Index its biggest advance in two months, amid better-than-forecast housing data and as President Barack Obama expressed confidence on a budget agreement with Congress.





Market Update

4:20 pm : Equities began today's session amid optimism regarding a potential fiscal cliff compromise. In addition, headlines out of Europe indicated the next tranche of Greek aid will likely come through before December 5. The positive sentiment lifted the S&P 500 to its session highs during the opening minutes. The benchmark average maintained these levels throughout the day before seeing a final round of buying which ran it to session highs into the close. Meanwhile, the Nasdaq outperformed with a gain of 2.2%.

The materials sector led the market higher. Within the space, two steel producers saw gains despite receiving downgrades. AK Steel (AKS 3.66, +0.09) rose by 2.5% following Longbow's downgrade to ‘neutral' from ‘buy.' Meanwhile, Mechel Steel (MTL 6.09, +0.25) advanced 4.3% after Morgan Stanley downgraded the company to ‘equal-weight' from ‘overweight.'

After seeing considerable pressure during recent market weakness, tech stocks rebounded broadly. The PowerShares QQQ ETF (QQQ 63.78, +1.48) settled higher by 2.4%, after losing more than 10% since September 21. Among technology bellwethers, Apple (AAPL 565.73, +38.05) spiked 7.2% in an attempt to establish support and put a stop to its recent softness.

Also of note, Cisco Systems (CSCO 18.30, +0.31) added 1.7% after announcing its intent to acquire Meraki, a start-up specializing in cloud-networking, for approximately $1.2 billion.

Due to the nature of their business, financials are expected to be highly sensitive to any hints of progress in budget discussions. Today, the SPDR Financial Select Sector ETF (XLF 15.56, +0.28) ended higher by 1.9%. Bank of America (BAC 9.49, +0.37) was the top performer among the majors. The bank shares gained 4.1% after Stifel Nicolaus upgraded the stock to ‘buy' from ‘hold' with an $11 price target. Elsewhere, Citigroup (C 36.10, +1.12) added 3.2% after earlier reports indicated the company will eliminate about 300 sales and trading jobs. Separately, Citigroup has agreed to pay $360 million over a Lehman Brothers dispute.

The exuberance was apparent in European financials as well. Barclays (BCS 15.85, +0.87) advanced 5.8% after Goldman upgraded the stock to ‘buy' from ‘neutral.' Meanwhile, Deutsche Bank (DB 43.25, +1.68) and Credit Suisse (CS 22.92, +0.98) saw respective gains of 4.0% and 4.5%.

This morning, October existing home sales were reported at 4.79 million. The number was an improvement from the prior month, and it beat expectations. In addition, the November NAHB Housing Market Index came in at 46, which was also better-than-expected. The SPDR S&P Homebuilders ETF (XHB 25.39, +0.50) rose by 2.0% as the strong data combined with a broad-market rally translated into outperformance by builders. PulteGroup (PHM 16.01, +0.33), and Lennar (LEN 36.81, +0.68) gained 1.4% and 1.9%, respectively.

Additionally, Lowe's (LOW 33.96, +1.98) surged 6.2% after the home improvement store operator reported third quarter earnings of $0.40 on $12.07 billion in revenue. Both figures were ahead of the Capital IQ consensus estimate, and were followed by in-line full-year earnings guidance.

Tomorrow's economic data includes October housing starts and building permits. Both figures will be reported at 8:30 ET.DJ30 +207.65 NASDAQ +62.94 SP500 +27.01 NASDAQ Adv/Vol/Dec 1950/1.7 bln/523 NYSE Adv/Vol/Dec 2715/710.9 mln/359

3:30 pm : Crude oil extended overnight gains as it inched higher during today's pit trade. It came off its session low of $88.40 per barrel and brushed a session high of $89.80 per barrel as it gained support from strength in the equities market, Middle East conflict, and a weaker dollar index. The energy component pulled-back slightly as it headed into the close and booked a 2.7% gain as it settled at $89.35 per barrel.

Precious metals also advanced on the weaker dollar index and strength in the equities market. Gold rose to a session high of $1735.50 per ounce in late morning action and traded near that level for the remainder of its session. It settled 1.2% higher at $1734.60 per ounce. Silver also trended higher as floor trade progressed. It settled 2.4% higher at $33.15 per ounce, just below its session high of $33.21 per ounce.

Natural gas, on the other hand, struggled in the red for most of its floor session. It climbed to a session high of $3.80 per MMBtu in late morning action but was unable to sustain the momentum and fell back into negative territory. It settled 1.8% lower at $3.72 per MMBtu, or just above its session low of $3.71 per MMBtu.DJ30 +177.37 NASDAQ +56.14 SP500 +23.70 NASDAQ Adv/Vol/Dec 1883/1392.4 mln/570 NYSE Adv/Vol/Dec 2629/1380 mln/414

3:00 pm : After marking a fresh session best, the S&P 500 trades higher by 1.7%.

Looking at this afternoon's earnings, Agilent Technologies (A 37.48, +1.67) is the only S&P 500 component scheduled to report. The Capital IQ consensus expects the tech company to announce earnings of $0.80 on $1.76 billion in revenue. In addition, the quick service restaurant space will be in focus as Bob Evans (BOBE 36.12, +1.07), Jack in the Box (JACK 26.18, +1.15), and Krispy Kreme (KKD 7.48, +0.25) are all set to reveal their quarterly results.

Best Buy (BBY 13.83, +0.08), Campbell Soup (CPB 36.79, +0.15), Hewlett-Packard (HPQ 13.37, +0.52), and HJ Heinz (HNZ 58.57, +0.50) are some of the notable names which will report earnings ahead of tomorrow's opening bell.DJ30 +175.51 NASDAQ +52.63 SP500 +23.05 NASDAQ Adv/Vol/Dec 1869/1.28 bln/569 NYSE Adv/Vol/Dec 2611/426.5 mln/427

2:35 pm : Quiet afternoon trade continues as the major averages hold their levels. The S&P 500 is up 1.6%.

Due to the nature of their business, financials are expected to be highly sensitive to any hints of progress in budget discussions. Today, the SPDR Financial Select Sector ETF (XLF 15.51, +0.23) is firmer by 1.5%. Bank of America (BAC 9.44, +0.32) is the top performer among the majors as it gains 3.6% after Stifel Nicolaus upgraded the bank shares to ‘buy' from ‘hold' with an $11 price target.

Elsewhere, Citigroup (C 36.00, +1.02) is rising by 2.9%. Earlier reports indicated the company will eliminate about 300 sales and trading jobs. Separately, Citigroup has agreed to pay $360 million over a Lehman Brothers dispute.

European financials are also seeing notable gains. Barclays (BCS 15.80, +0.82) is advancing 5.5% after Goldman upgraded the stock to ‘buy' from ‘neutral.' Meanwhile, Deutsche Bank (DB 43.09, +1.52) and Credit Suisse (CS 22.94, +1.00) are seeing respective gains of 3.7% and 4.6%.DJ30 +167.10 NASDAQ +50.86 SP500 +21.47 NASDAQ Adv/Vol/Dec 1872/1.17 bln/570 NYSE Adv/Vol/Dec 2590/390.7 mln/441

2:00 pm : The major indices continue to hover near their respective session highs and the S&P 500 is advancing 1.5%.

A handful of food producers and distributors are moving on news. Tyson Foods (TSN 18.11, +1.23) is surging 7.3% after reporting mixed quarterly results. During the fourth quarter, the food producer earned $0.55, which was $0.11 ahead of the Capital IQ consensus estimate. However, the company's revenue saw a slight year-over-year decline, and missed expectations. Additionally, Tyson declared a special dividend of $0.10 per share and guided full-year 2013 revenue above consensus.

Elsewhere, Dean Foods (DF 16.78, +0.18) is adding 1.1% after Goldman upgraded the stock to ‘buy' from ‘neutral.'

Lastly, Diamond Foods (DMND 13.45, -1.68) is slumping 11.1% after Jefferies downgraded the stock to ‘underperform' from ‘hold.' The downgrade follows last week's restatement of financial results from 2010 and 2011.DJ30 +159.46 NASDAQ +47.99 SP500 +20.54 NASDAQ Adv/Vol/Dec 1857/1.08 bln/578 NYSE Adv/Vol/Dec 2593/357.9 mln/416

1:30 pm : The Dow is advancing 1.3% as it continues to hover near its session best.

The Dow Jones Transportation Average is higher by 1.3%, trading in-line with the remaining industrials. All twenty transportation stocks are advancing, but trucking shares are registering slimmer gains than the broader market. CH Robinson (CHRW 59.44, +0.28), JB Hunt (JBHT 59.48, +0.16), and Landstar System (LSTR 49.68, +0.26) are all up between 0.3% and 0.5%.

Elsewhere, UPS (UPS 71.16, +1.14) is rising by 1.6% after saying it expects a 10% increase in packages scheduled for delivery between Thanksgiving and Christmas. Peer FedEx (FDX 86.51, +0.52) is adding 0.6%.DJ30 +159.99 NASDAQ +46.86 SP500 +20.61 NASDAQ Adv/Vol/Dec 1862/1.0 bln/561 NYSE Adv/Vol/Dec 2632/333.5 mln/385

1:00 pm : Equities saw solid gains on the open as optimism regarding a U.S. fiscal cliff compromise carried over from overnight trade. In addition, reports indicated progress is being made in Greek debt discussions. The news helped fuel today's rally with the S&P 500 up 1.6% where it holds just above its 200-day moving average.

After seeing considerable pressure during recent market weakness, technology stocks are pacing today's gains. The PowerShares QQQ ETF (QQQ 63.48, +1.18) is higher by 1.9%, after losing more than 10% since September 21. Among technology bellwethers, Apple (AAPL 558.25, +30.57) is surging 5.8% as it attempts to establish meaningful support.

Also of note, Cisco Systems (CSCO 18.26, +0.27) is adding 1.5% after announcing its intent to acquire Meraki, a start-up specializing in cloud-networking, for approximately $1.2 billion.

The materials sector is also among the top gainers. The strength within the space is broad-based, but steelmakers and paper producers are outperforming. Among steelmakers, Olympic Steel (ZEUS 17.79, +0.94) is the top performer as it sees a gain of 5.6%. Two steel producers are moving higher despite receiving downgrades. AK Steel (AKS 3.66, +0.09) is higher by 2.2% following Longbow's downgrade to ‘neutral' from ‘buy.' Meanwhile, Mechel Steel (MTL 6.03, +0.19) is firmer by 3.3% after Morgan Stanley downgraded the company to ‘equal-weight' from ‘overweight.'

Among paper producers, International Paper (IP 35.47, +1.16) and Louisiana Pacific (LPX 16.60, +0.76) are up 3.4% and 4.7%, respectively.

This morning, October existing home sales were reported at 4.79 million. The number was an improvement from the prior month, and it beat expectations. In addition, the November NAHB Housing Market Index came in at 46, which was also better-than-expected. The SPDR S&P Homebuilders ETF (XHB 25.46, +0.57) is higher by 2.3% as the strong data combined with a broad-market rally translates into outperformance by builders. DR Horton (DHI 19.23, +0.33), PulteGroup (PHM 16.01, +0.33), and MDC Holdings (MDC 34.49, +0.53) are all up close to 2.0%.

Utility stocks remain in their recent rut, and the sector is the only S&P 500 group trading in the red. The space is off by 0.1% and electricity providers are seeing relative weakness. The market is continuing to price in expectations of a regulatory overhaul as Edison International (EIX 44.10, -0.36), Exelon (EXC 29.12, -0.13), and Xcel Energy (XEL 26.02, -0.24) all see losses between 0.4% and 1.0%.DJ30 +168.84 NASDAQ +51.24 SP500 +22.24 NASDAQ Adv/Vol/Dec 1891/922.5 mln/520 NYSE Adv/Vol/Dec 2648/308.8 mln/353

12:30 pm : The S&P 500 is advancing 1.7% as it continues to trade near its session high.

This morning, October existing home sales were reported at 4.79 million. The number was an improvement from the prior month, and it beat expectations. In addition, the November NAHB Housing Market Index came in at 46, which was also better-than-expected. The SPDR S&P Homebuilders ETF (XHB 25.47, +0.58) is higher by 2.4% as the strong data combined with a broad-market rally translates into outperformance by builders. DR Horton (DHI 19.25, +0.35), PulteGroup (PHM 16.00, +0.32), and MDC Holdings (MDC 34.58, +0.62) are all up between 1.8% and 2.2%.DJ30 +172.89 NASDAQ +51.27 SP500 +22.47 NASDAQ Adv/Vol/Dec 1904/834.5 mln/498 NYSE Adv/Vol/Dec 2661/281.5 mln/337

12:05 pm : Equities are maintaining their recent levels as the S&P 500 adds 1.7%.

Utility stocks are continuing their recent streak of underperformance. Today, the sector is the only S&P 500 group trading in the red. The space is off by 0.1% and electricity providers are seeing relative weakness. The market is continuing to price in expectations of a regulatory overhaul as Edison International (EIX 44.10, -0.36), Exelon (EXC 29.12, -0.13), and Xcel Energy (XEL 26.02, -0.24) all see losses between 0.4% and 1.0%.

While electrical utilities pressure the sector, gas providers are seeing gains in-line with the broader market. UGI (UGI 31.62, +0.87) and National Fuel Gas (NFG 51.17, +0.81) are higher by 3.0% and 1.7%, respectively.DJ30 +172.03 NASDAQ +50.08 SP500 +22.67 NASDAQ Adv/Vol/Dec 1904/766.5 mln/497 NYSE Adv/Vol/Dec 2670/260.5 mln/310

11:30 am : The key indices continue to hold their levels and the S&P 500 is up 1.6%.

After feeling considerable pressure during recent market weakness, technology stocks are attempting to stage a rebound. The PowerShares QQQ ETF (QQQ 63.35, +1.05) is higher by 1.7%, after losing more than 10% since September 21. Among technology bellwethers, Apple (AAPL 553.95, +26.72) is surging 5.0% as it attempts to establish meaningful support.

Elsewhere, Intel (INTC 20.36, +0.17) is higher by 0.8% after the company's Chief Executive Officer, Paul Otellini, announced his intentions to retire in May.

Also of note, Cisco Systems (CSCO 18.18, +0.19) is adding 1.1% after announcing its intent to acquire Meraki, a start-up specializing in cloud-networking, for approximately $1.2 billion. Meraki's peer, Aruba Networks (ARUN 18.68, -0.15), trades lower by 0.8% as the company is expected to face tougher competition once Cisco enters the space.DJ30 +161.62 NASDAQ +46.31 SP500 +21.15 NASDAQ Adv/Vol/Dec 1900/657.5 mln/483 NYSE Adv/Vol/Dec 2636/226.9 mln/329

11:00 am : The major averages are holding near the top of the day's range, and the S&P 500 is higher by 1.5%.

The materials sector is leading today's rally. The strength within the space is broad-based, but steelmakers and paper producers are outperforming. Among steelmakers, United States Steel (X 21.04, +0.98) is the top performer as it sees a gain of 4.9%.

Cliffs Natural Resources (CLF 35.83, +0.50) is adding 1.4% following the announcement of adjustments to its 2013 operating plan. As part of the plan, the company will delay portions of its Bloom Lake Mine Phase II expansion in Quebec, and production at two other iron ore operations will be idled as well.

Two steel producers are moving higher despite receiving downgrades. AK Steel (AKS 3.67, +0.10) is higher by 2.8% following Longbow's downgrade to ‘neutral' from ‘buy.' Meanwhile, Mechel Steel (MTL 6.08, +0.24) is firmer by 4.1% after Morgan Stanley downgraded the company to ‘equal-weight' from ‘overweight.'

Among paper producers, International Paper (IP 35.27, +0.96) and Louisiana Pacific (LPX 16.52, +0.68) are up 2.8% and 4.3%, respectively.DJ30 +161.57 NASDAQ +45.96 SP500 +21.20 NASDAQ Adv/Vol/Dec 1871/561.3 mln/476 NYSE Adv/Vol/Dec 2632/197.9 mln/307

10:30 am : Commodities are trading higher this morning, excluding a few (e.g. natural gas, orange juice, rough rice), along with overall broad market strength in major indices and weakness in the dollar index. Overnight, on the London Metals Exchange, aluminum futures rose 1.1% at $1880.00/ton.

In U.S. markets, Dec crude oil has extended gains, partially driven by headlines that the Israel conflict has worsened, pushing it to the $89/barrel level. Israel said that it may increase its assault on the Gaza Strip. Crude oil is now +2.2% at $88.86/barrel.

Natural gas futures on the other hand are basically showing an inverse relationship to crude oil this morning. Dec nat gas has been trending lower since the overnight session and just hit a new session low of $3.75/MMBtu a few moments ago. Nat gas is currently -0.3% at $3.78/MMBtu.

Precious metals are showing nice gains this morning on today's broad market strength and weakness in the dollar index. Dec gold hit a new session high of $1732.20 around 9am ET, while Dec silver hit its own new session high of $33.01 about 10 minutes after floor trading began. Gold is now +0.9% at $1730.30/oz and silver is +1.7% at $32.91. Dec copper has been in positive territory all session and just now hit a new session high of $3.53/lb and is up 2.2%.DJ30 +152.40 NASDAQ +39.95 SP500 +19.62 NASDAQ Adv/Vol/Dec 1886/432 mln/439 NYSE Adv/Vol/Dec 2623/160 mln/274

10:05 am : Stocks are holding their gains following the release of the latest housing data. The S&P 500 is higher by 1.5%.

Existing home sales for October hit an annualized rate of 4.79 million units, which is stronger than the rate of 4.70 million units that had been generally expected by the Briefing.com consensus. The pace for October is up from the prior month's revised rate of 4.69 million units.

The NAHB Housing Market Index for November registered a reading of 46. That is up from prior month's reading of 41, and better than the reading of 42 that had been expected among economists polled by Briefing.com.

The SPDR S&P Homebuilders ETF (XHB 25.90, +1.01) ticked higher following the data's release.DJ30 +149.12 NASDAQ +38.43 SP500 +19.88 NASDAQ Adv/Vol/Dec 1890/279.2 mln/380 NYSE Adv/Vol/Dec 2648/115.9 mln/223

09:50 am : Stocks have extended the bullish pre-market sentiment in the early going. The S&P 500 is higher by 1.4%.

The initial strength is broad based as nearly all sectors see gains in excess of 1.0%. Energy stocks are notably higher as the sector adds 1.9%. Meanwhile, the utility sector is off by 0.2% as it underperforms.

Looking at stocks moving on news, Intel (INTC 20.39, +0.20) is higher by 1.0% after the company's Chief Executive Officer, Paul Otellini, announced his plans to retire in May.

Elsewhere, MetroPCS (PCS 11.11, +0.35) is advancing 3.3% after filing of stockholder meeting proxy materials, which provided details regarding the background of the T-Mobile transaction. According to the materials, T-Mobile shareholders are expected to support the takeover.

October existing home sales and November NAHB Housing Market Index will both be reported at 10:00 ET.DJ30 +139.84 NASDAQ +42.56 SP500 +19.10 NASDAQ Adv/Vol/Dec 1878/187.5 mln/333 NYSE Adv/Vol/Dec 2591/90.7 mln/230

09:17 am : [BRIEFING.COM] S&P futures vs fair value: +15.30. Nasdaq futures vs fair value: +27.00. Heading into the open, equity futures are firmly higher. The S&P 500 futures are advancing 0.9% as they trade near their pre-market highs.

The risk-on sentiment is manifesting itself in pre-market trade. High-beta financials and producers of basic materials are seeing strength. Among financials, Bank of America (BAC 9.32, +0.20), Citigroup (C 35.70, +0.72), and Morgan Stanley (MS 16.54, +0.36) are all up between 2.1% and 2.2%.

Looking at steelmakers, AK Steel (AKS 3.70, +0.13) is higher by 3.6% despite being downgraded to ‘neutral' from ‘buy' at Longbow. Meanwhile, Cliffs Natural Resources (CLF 36.66, +1.33) is rising by 3.8% after announcing adjustments to its 2013 operating plan. As part of the plan, the company will delay portions of its Bloom Lake Mine Phase II expansion in Quebec. In addition, production at two other iron ore operations will be idled.

October existing home sales and November NAHB Housing Market Index will both be reported at 10:00 ET.

08:59 am : [BRIEFING.COM] S&P futures vs fair value: +15.00. Nasdaq futures vs fair value: +25.50. U.S. equity futures continue climbing ahead of the open. Currently, the S&P 500 futures are up 0.9%.

The major Asian bourses ended mostly higher as buyers emerged following productive talks regarding the U.S. fiscal cliff. News flow out of China showed housing prices saw monthly declines in 17 of 22 cities while coal imports posted their first increase in four months, jumping 15% month-over-month. Elsewhere, Hong Kong's unemployment rate ticked up to 3.4% from the previous 3.3%.

In Japan, the Nikkei closed higher by 1.4% as shares ended at their best level in two months. Exporters continued to see gains thanks to a weaker yen with Toyota Motor, Canon, and Fanuc seeing gains of 2.0-3.0%. Financials were also strong as Mitsubishi UFJ Financial and Mizuho Financial both adding close to 3.0%.

Hong Kong's Hang Seng rose by 0.5% as real estate names outperformed. Cheung Kong and Sino Land were the top performers in the space adding 1.2% and 2.1% respectively. Meanwhile, insurer Ping An slipped 1.9% on reports HSBC is looking to sell its 15.6% stake in the company.

In China, the Shanghai Composite added 0.1% as brokerage firms gained on news Beijing will cut the dividend tax for investors who hold securities for at least a year. Hong Yuan Securities and Everbright Securities rallied 2.9% and 2.2% respectively on the news. Meanwhile, spirit maker Kweichow Moutai tumbled 4.5% on fears of lower prices.

European markets are broadly higher to begin the week. Greece remains a point of discussion as European Central Bank's Joerg Asmussen believes the country will be unable to return to markets in 2015-16, and will likely need to pursue further aid. Among other troubled nations, Cyprus and the Troika have reportedly smoothed over the key issues standing in the way of a loan agreement. However, the loan should not exceed EUR10 billion. Economic data in the region was light, but Italian new industrial orders declined by 4.0% year-over-year while a 0.8% decrease was broadly expected.

In the United Kingdom, the FTSE is advancing 1.4%. Barclays is higher by 5.0% as it leads the index. Earlier, the financial was upgraded to ‘buy' from ‘neutral' at Goldman. On the downside, provider of consulting services, Serco Group, is slipping 1.5% after Credit Suisse downgraded the stock to ‘neutral.'

France's CAC is rising by 1.7% and all 40 components are advancing. Financials are among the top performers as AXA, BNP Paribas, Credit Agricole, and Societe Generale all see gains between 2.6% and 4.0%.

Germany's DAX is firmer by 1.8% as all 30 stocks see gains. Similar to France, Germany's financials are outperforming. Commerzbank and Deutsche Bank are higher by 3.5% and 1.9%, respectively. In addition, carmakers are also trading ahead of the broader market. BMW is gaining 3.9% and Volkswagen is advancing 2.9%.

08:32 am : [BRIEFING.COM] S&P futures vs fair value: +14.50. Nasdaq futures vs fair value: +24.80. Equity futures are near their pre-market highs, and the S&P 500 futures are up 0.9%.

Looking further at pre-market movers, Tyson Foods (TSN 17.45, +0.57) is adding 3.4% after reporting mixed quarterly results. During the fourth quarter, the food producer earned $0.55, which was $0.11 ahead of the Capital IQ consensus estimate. However, the company's revenue saw a slight year-over-year decline, and missed expectations. Additionally, Tyson declared a special dividend of $0.10 per share and issued upside guidance as it sees full-year 2013 revenue ahead of forecasts.

Elsewhere, Diamond Foods (DMND 13.85, -1.28) is sliding 8.5% after Jefferies downgraded the stock to ‘underperform' from ‘hold.'

08:03 am : [BRIEFING.COM] S&P futures vs fair value: +10.40. Nasdaq futures vs fair value: +17.30. U.S. equity futures are higher to follow a downbeat week which saw the S&P 500 lose nearly 1.5%.

Overnight, the global equity markets saw gains. Investor sentiment was mildly positive following Friday's comments which indicated progress in fiscal cliff talks. Meanwhile, negotiations for an Israeli-Hamas cease-fire are reportedly being brokered by Egyptian president, Mohamed Morsi, though bombing continued during the weekend.

In Asia, the Shanghai Composite was a notable laggard as it added 0.1% after testing the 2000 level. Also of note, home prices declined in 17 cities year-over-year. This is an improvement over last month's figures which showed a decrease in prices across 22 cities, and suggests property curbs will remain in place for the time being. China's coal imports rose for the first time in 4 months, adding 15% month-over-month. The Nikkei continued its rally and gained 1.4% as the yen weakened further. Elsewhere, Hong Kong's Hang Seng advanced 0.5%.

In Europe, European Central Bank's Joerg Asmussen believes Greece will be unable to return to markets in 2015-16, and will likely need to pursue another aid program. Among other troubled nations, Cyprus and the Troika have reportedly agreed on the key issues pertaining to a loan agreement. However, the loan should not exceed EUR10 billion. Economic data in the region was light, but Italian new industrial orders declined by 4.0% year-over-year while a 0.8% decrease was broadly expected. Looking at the main indices, France's CAC is higher by 1.6%, Germany's DAX is advancing 1.5%, and UK's FTSE is rising by 1.3%.

In U.S. corporate news, Lowe's (LOW 33.35, +1.37) is higher by 4.3% after the home improvement store operator reported third quarter earnings of $0.40 on $12.07 billion in revenue. Both figures were ahead of the Capital IQ consensus estimate, and were followed by in-line full-year earnings guidance.

Best Buy (BBY 14.45, +0.70) is gaining 5.1% after New York Post reported Best Buy founder, Richard Schulze, may purchase the company at a lower price than previously discussed.

Cisco Systems (CSCO 18.21, +0.22) is adding 1.2% after announcing its intent to acquire Meraki, a start-up specializing in cloud-networking, for approximately $1.2 billion.

Sina (SINA 49.60, +4.53) is spiking 10.1% after Reuters reported Alibaba plans to purchase a 15-20% stake in Sina's Weibo.

In today's economic data, October existing home sales and November NAHB Housing Market Index will both be reported at 10:00 ET.

06:31 am : [BRIEFING.COM] S&P futures vs fair value: +10.00. Nasdaq futures vs fair value: +14.00.

06:31 am : Nikkei...9153.20...+129.00...+1.40%. Hang Seng...21262.06...+103.10...+0.50%.

06:31 am : FTSE...5662.65...+57.10...+1.00%. DAX...7043.68...+93.20...+1.30%.

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 and http://stocktwits.com/wrbtrader

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