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)
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)


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

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $1,240.00 dollars or +12.40 points, Emini ES ($ES_F) futures @ $2,125.00 dollars or +42.50 points, Light Crude Oil CL ($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 @ $3,365.00 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 chat room. You can read today's chat room logs for details about each one of my trades via price action trading from entry to exit (e.g. time, price, contract size) along with price action commentary as the trade traversed to its completion...all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=123&t=1644

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.

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=223&t=2061

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Market Context Summaries

The below summaries by Bloomberg, CNNMoney, Reuters and Yahoo! Finance helps me to do a quick review of the fundamentals, FED/ECB/BOE/IMF actions or any important global economic events (e.g. Eurozone, MarketWatch.com) that had an impact on today's price action in many trading instruments I monitor during the trading day. Simply, I'm a strong believer that key market events causes key changes in supply/demand and volatility resulting in trade opportunities (swing points and strong continuation price actions) that reach profit targets. Thus, I pay attention to these key market events, intermarket analysis (e.g. Forex EurUsd, EuroFX 6E futures, Gold GC futures, Light Crude Oil (WTI) CL & Brent Oil futures, Eurex DAX futures, Euronext FTSE100 futures, Emini ES futures, Emini TF futures, Treasury ZB futures and U.S. Dollar Index futures) while using WRB Analysis from one trade to the next trade to give me the market context for price action trading before the appearance of my technical analysis trade signals. Therefore, I maintain these archives to allow me to understand what was happening on any given trading day in the past involving key market events to help better understand my trade decisions (day trading, swing trading, position trading)...something I can not get from my broker statements alone.

Dow Hits Another Record High


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

NEW YORK (CNNMoney)
The Dow rose to an all-time high Wednesday as investors focused on mostly solid corporate earnings.

The Dow gained 126 points to surpass its record high from last week. Microsoft (MSFT, Fortune 500) and Chevron (CVX, Fortune 500) were the best performing blue-chips in the Dow 30. Nike (NKE, Fortune 500) and Home Depot (HD, Fortune 500)were among the few Dow components that were lower.

The S&P 500 ended just below its record high, but the Nasdaq dipped. Stocks ended mostly flat Tuesday.

Health insurer Humana (HUM, Fortune 500) reported better than expected earnings before the bell. CNNMoney parent Time Warner (TWX, Fortune 500) topped earnings forecasts and reaffirmed its guidance for the year.

Of the 374 companies in the S&P 500 that have reported earnings so far, 69% have topped analysts' expectations, according to S&P Capital IQ.

"That's a nice clip to run at," said Bill Stone, chief investment strategist for PNC Wealth Management.

Tesla shifts into reverse: Tesla (TSLA) shares plunged after the electric car maker's third-quarter results were not as strong as investors were hoping for.

It's been a bumpy ride for Tesla. At its peak in September, the stock had quadrupled in price. That prompted many investors to take profits in October. But some StockTwits traders welcomed the volatility.

"$TSLA You just need to sell it when it runs up a lot and buy it when it drops a lot ...depending on scenario, but it's a great trading stock," said scherf_com.

Shares of teen apparel retailer Abercrombie & Fitch (ANF)tumbled 13% after the company warned of weak sales and said it was closing its lingerie chain Gilly Hicks.

The warning was evidence that Abercrombie is losing its appeal with an often fickle demographic, according to one StockTwits user.

"$ANF my teen daughter and her friends say that ANF isn't cool anymore," said ipoguy.

Shares of OpenTable (OPEN) surged 12% after the online restaurant reservations company reported record revenues late Tuesday.

"$OPEN another great stock, of course its overvalued but it certainly is a great app," said ccash04.

Icahn's next target: eBay? Shares of eBay (EBAY, Fortune 500) gained on rumors that activist investor Carl Icahn is considering a stake in the online auction company. Icahn recently increased his investment in Apple (AAPL, Fortune 500) and sold a big chunk of his position in Netflix (NFLX).

"$EBAY Carl Icahn? Is he buying shares in every Tech co now?" asked Lach14.

CBS (CBS, Fortune 500) reported strong quarterly sales after the market closed. Shares of Whole Foods (WFM, Fortune 500) sank on a disappointing outlook. SolarCity (SCTY), the renewable energy firm chaired by Tesla CEO Elon Musk, reported a smaller-than-expected loss and sales that topped forecasts.

Twitter mania! Investors will also keep tabs on Twitter (TWTR) once the market closes. The social media site, which has more than 230 million users, is widely expected to price its initial public offering this evening and begin trading on Thursday.

The IPO market has been booming as stocks trade near all-time highs. The S&P 500 has gained 24% so far this year, extending a bull market that started in March 2009.

Barracuda Networks (CUDA), which provides cloud computing and network security services, priced its IPO at $18 a share, the low end of its price range. But the stock jumped more than 20%. Avianca Holdings (AVH) and Arc Logistics Partners (ARCX) also went public Wednesday but did not fare as well.

* Main Street may avoid Twitter

Looking ahead to the rest of the week, investors are awaiting the U.S. October jobs report from the Bureau of Labor Statistics. The report, due out Friday morning, has a strong influence on market sentiment.

Investors are zeroing in on the economy as they attempt to gauge when the Federal Reserve will begin to slow, or taper, the pace of its $85 billion per month stimulus program.

The Fed is expected to stay on hold until sometime next year, but any sign of improvement in growth, particularly in the job market, could stoke concerns about an early exit.

"We all know the taper is coming, we just don't know when," said Stone.

On Thursday both the European Central Bank and the Bank of England will announce interest rate decisions. The ECB is under pressure to cut rates to a new low.

European markets and Asia's stock markets ended mixed.





4:15 pm : The major averages registered broad gains at the open, but only the Dow Jones Industrial Average (+0.8%) and S&P 500 (+0.4%) were able to end in positive territory while the Nasdaq (-0.2%) and Russell 2000 (-0.5%) posted modest losses.

The Dow finished at a fresh record high of 15,746.63 as 27 of 30 components registered gains. Of those 27, twelve added at least 1.0%. Microsoft (MSFT 38.18, +1.54) was the top index performer, climbing 4.2% amid reports Ford (F 16.91, -0.18) Chief Executive Officer Alan Mullaly remains on the list of candidates hoping to replace outgoing CEO Steve Ballmer.

While Microsoft's gain had a limited impact on the price-weighted Dow, the stock provided support to the technology sector (+0.8%), which ended ahead of the remaining cyclical groups. Although the tech sector has a tendency to trade in-line with the Nasdaq, that was not the case today. The Nasdaq ended modestly lower as biotechnology and momentum names lagged.

Companies specializing in biotechnology registered broad losses as the iShares Nasdaq Biotechnology ETF (IBB 201.07, -6.04) tumbled 2.9%, widening its fourth quarter loss to 4.1%. Meanwhile, momentum names like Facebook (FB 49.12, -0.98), Priceline.com (PCLN 1058.04, -24.19), and Yelp (YELP 66.61, -4.52) took a cue from Tesla's (TSLA 151.16, -25.65) weakness. The electric car maker plunged 14.5% in reaction to its cautious guidance and Q3 deliveries that were essentially in-line with Street expectations. Despite today's loss, Tesla remains higher by 346% this year.

Elsewhere, the discretionary sector (-0.2%) spent the bulk of the session in the red as apparel retailers weighed after Abercrombie & Fitch (ANF 33.13, -5.18) issued below-consensus revenue guidance.

Also of note, the financial sector (+0.3%) continued its recent underperformance. Despite today's modest advance, the sector is unchanged this week versus a 0.5% gain in the S&P. In addition, the sector's recent weakness has trimmed its quarter-to-date gain to 3.4%, which puts the group behind the remaining nine sectors in Q4 standings.

Three of four countercyclical groups (consumer staples, telecom services, and utilities) posted solid gains between 1.0% and 1.3% while health care shed 0.3% as biotech pressured the sector.

Treasuries settled near their highs, erasing a portion of yesterday's loss. The benchmark 10-yr yield slipped three basis points to 2.65%.

Participation was on the light side as only 704 million shares changed hands on the floor of the New York Stock Exchange.

In today's economic data, the Conference Board's Index of Leading Indicators increased 0.7% for a second consecutive month in September. The Briefing.com consensus expected the index to increase 0.6%. The index will likely suffer a sizable pullback in October. Initial claims, which added 0.26 percentage points to the increase in the leading indicators, will contribute negatively in October as glitches from California and biases from the government shutdown drove claims to their highest level in several months.

The weekly MBA Mortgage Index fell 7.0% to follow last week's increase of 6.4%.

Separately, October Challenger Job Cuts decreased 4.2% after increasing 19.1% in September.

Tomorrow, weekly initial claims and the advance Q3 GDP reading will be reported at 8:30 ET while the September Consumer Credit report will be released at 15:00 ET.

Nasdaq +30.2% YTD
Russell 2000 +29.4% YTD
S&P 500 +24.1% YTD
DJIA +20.2% YTD

DJ30 +128.66 NASDAQ -7.92 SP500 +7.52 NASDAQ Adv/Vol/Dec 1221/1.97 bln/1321 NYSE Adv/Vol/Dec 1598/704.0 mln/1410

3:30 pm :

Precious metals traded higher today, gaining support from a weaker dollar index. Dec gold brushed a session high of $1320.50 per ounce in early morning pit trade and chopped around slightly below that level for the remainder of the session. It eventually settled with a 0.7% gain at $1317.40 per ounce.
Dec silver rose to a session high of $21.93 per ounce but then inched lower. It settled with a 0.6% gain at $21.76 per ounce, just above its session low of $21.75 per ounce.
Dec crude oil also rose on the weaker dollar index. Adding to today's strength was better-than-anticipated inventory data that showed a build of 1.577 mln barrels when a build of 1.6-2.1 mln barrels was expected. The energy component lifted from a session low of $93.68 per barrel set at pit trade open and advanced as high as $95.40 per barrel. It pulled back slightly heading into the close and settled with a 1.4% higher at $94.74 per barrel.
Dec natural gas also traded in positive territory, advancing to a session high of $3.55 per MMBtu. It pulled back in afternoon pit trade and settled with a 0.9% gain at $3.50 per MMBtu.

DJ30 +112.64 NASDAQ -10.60 SP500 +5.62 NASDAQ Adv/Vol/Dec 1265/1680.2 mln/1287 NYSE Adv/Vol/Dec 1560/479 mln/1443

3:00 pm : The S&P 500 holds a gain of 0.4% as today's session enters its final hour.

Today's economic data was limited to three reports (MBA Mortgage Index, Challenger Job Cuts, and Leading Indicators) that had little effect on the performance of the broader market. However, tomorrow's data should receive a bit more scrutiny with the preliminary third quarter GDP reading scheduled to be released at 8:30 ET. The Briefing.com consensus expects the report to reflect growth of 1.9%.

Investors will receive more noteworthy data points on Friday with the October nonfarm payrolls report scheduled for an 8:30 ET release and the preliminary reading of the Michigan Sentiment for November expected at 9:55 ET. The Briefing.com consensus calls for payroll growth of 100K while the Michigan Consumer Sentiment Survey is expected to come in at 75.3.DJ30 +116.83 NASDAQ -10.95 SP500 +6.41 NASDAQ Adv/Vol/Dec 1262/1.52 bln/1283 NYSE Adv/Vol/Dec 1547/431.2 mln/1431

2:35 pm : Afternoon action has slowed down considerably as equity indices maintain their recent levels.

Elsewhere, Treasuries have also been confined to narrow ranges throughout the afternoon as the 10-yr yield trades lower by three basis points at 2.65%.DJ30 +118.60 NASDAQ -11.28 SP500 +6.10 NASDAQ Adv/Vol/Dec 1222/1.43 bln/1302 NYSE Adv/Vol/Dec 1563/406.8 mln/1414

2:00 pm : Equities remain mixed as the Dow (+0.7%) hovers near its high, the Nasdaq (-0.3%) drifts near its low, and the S&P 500 (+0.4%) sits in the middle of its range.

Although eight of ten sectors sport gains of at least 0.3%, there are some pockets of weakness among the groups trading in positive territory. Most notably, the industrial sector is higher by 0.3% even as transports display broad weakness. The Dow Jones Transportation Average holds a loss of 0.7% as 16 of 20 components register losses. C.H. Robinson (CHRW 60.15, -0.78) is lower by 1.3% after reporting a bottom-line miss on above-consensus revenue.

Elsewhere, the tech sector (+0.6%) is the top-performing cyclical group even as the largest component, Apple (AAPL 520.06, -2.34), trades down 0.4%.DJ30 +111.62 NASDAQ -11.59 SP500 +6.22 NASDAQ Adv/Vol/Dec 1220/1.32 bln/1294 NYSE Adv/Vol/Dec 1603/370.2 mln/1349

1:25 pm : The Dow and S&P 500 are looking pretty good today as participants show some preference for blue-chip issues. We suspect that has to do in part with the shellacking Tesla (TSLA 150.63, -26.18) is taking after its earnings report.

The quick turn of events in that favorite momentum stock is arguably resonating with investors as a reason to favor liquid, lower-beta names at this point given the advertised belief the market is due for a pullback after rallying close to 7.0% since October 8.

Under that light, it stands to reason that today's best-performing sectors are the defensive-oriented telecom services (+1.3%), utilities (+1.1%), and consumer staples (+0.9%) sectors.

Small-cap stocks, meanwhile, continue to underperform as evidenced by the weakness in the Russell 2000 (-0.4%).DJ30 +99.73 NASDAQ -13.52 SP500 +5.32 NASDAQ Adv/Vol/Dec 1195/1.22 bln/1298 NYSE Adv/Vol/Dec 1540/337 mln/1393

1:00 pm : At midday, equity indices trade in mixed fashion. The Dow Jones Industrial Average (+0.7%) and S&P 500 (+0.3%) hold modest gains while the Nasdaq (-0.3%) and Russell 2000 (-0.3%) hover in negative territory.

The tech-heavy Nasdaq has been pressured by notable losses among momentum names and companies specializing in biotechnology. The iShares Nasdaq Biotechnology ETF (IBB 202.31, -4.80) trades lower by 2.3%, widening its fourth quarter loss to 3.5%. Meanwhile, momentum names like Facebook (FB 49.02, -1.08), Priceline.com (PCLN 1058.79, -23.44), and Yelp (YELP 66.69, -4.44) have followed in Tesla's (TSLA 150.38, -26.43) footsteps. Although the electric car maker beat on earnings, its stock trades down 15.1% after Q3 deliveries met Street expectations, which was not enough to justify an 80% rally during the third quarter.

Even though the Nasdaq trades modestly lower, the index has been kept from registering additional losses by the relative strength of top-weighted components like Cisco Systems (CSCO 23.33, +0.26), Intel (INTC 24.21, +0.18), and Microsoft (MSFT 37.89, +1.25). Notably, Microsoft is higher by 3.5% amid reports Ford (F 16.97, -0.12) Chief Executive Officer Alan Mullaly remains on the list of candidates to replace outgoing CEO Steve Ballmer.

In turn, the outperformance of Cisco, Intel, and Microsoft has provided a measure of support to the Dow, which sits near its opening high.

Elsewhere, the S&P maintains a modest gain as consumer staples (+0.7%), energy (+0.5%), technology (+0.6%), and utilities (+1.2%) outperform. Meanwhile, consumer discretionary and health care trade lower by 0.2% each.

Apparel retailers weigh on the discretionary sector after Abercrombie & Fitch (ANF 33.52, -4.79) issued revenue guidance below analyst estimates.

Treasuries hover near their highs following yesterday's sell off. The 10-yr yield is lower by three basis points at 2.65%.

In today's economic data, the Conference Board's Index of Leading Indicators increased 0.7% for a second consecutive month in September. The Briefing.com consensus expected the index to increase 0.6%. The index will likely suffer a sizable pullback in October. Initial claims, which added 0.26 percentage points to the increase in the leading indicators, will contribute negatively in October as glitches from California and biases from the government shutdown drove claims to their highest level in several months.

The weekly MBA Mortgage Index fell 7.0% to follow last week's increase of 6.4%.

Separately, October Challenger Job Cuts decreased 4.2% after increasing 19.1% in September.DJ30 +102.74 NASDAQ -10.14 SP500 +6.25 NASDAQ Adv/Vol/Dec 1249/1.14 bln/1213 NYSE Adv/Vol/Dec 1613/312.8 mln/1294

12:35 pm : Not much has changed since our last update as the key indices continue to maintain their levels. The S&P 500 holds a modest gain of 0.3% with eight sectors trading in positive territory. Meanwhile, consumer discretionary (-0.3%) and health care (-0.2%) have held modest losses since the late morning.

Elsewhere, the financial sector (+0.2%) has caught the eye of some market observers as the influential group has quietly underperformed the broader market in recent days.

Despite today's modest advance, the sector is lower by 0.1% this week versus a 0.4% gain in the S&P. In addition, the sector's recent weakness has trimmed its quarter-to-date gain to 3.3%, which puts the group behind the remaining nine sectors in Q4 standings.DJ30 +98.67 NASDAQ -10.50 SP500 +5.76 NASDAQ Adv/Vol/Dec 1223/1.06 bln/1233 NYSE Adv/Vol/Dec 1608/293.6 mln/1293

12:00 pm : Equity indices continue to hold their recent levels. Although the Nasdaq trades lower by 0.2%, the Dow sports a solid gain of 0.6% as 27 of 30 components register gains.

Interestingly, some of the leading Dow components like Cisco Systems (CSCO 23.25, +0.18), Intel (INTC 24.26, +0.23), and Microsoft (MSFT 37.98, +1.34) are also members of the Nasdaq. However, the relative strength of select tech names has been overshadowed by the underperformance of biotechnology (IBB 202.32, -4.79) and momentum names like Facebook (FB 49.44, -0.67), Priceline.com (PCLN 1060.51, -21.72), and Tesla (TSLA 151.34, -25.47).DJ30 +80.98 NASDAQ -10.15 SP500 +3.77 NASDAQ Adv/Vol/Dec 1188/951.8 mln/1256 NYSE Adv/Vol/Dec 1554/264.3 mln/1333

11:35 am : The Dow (+0.6%) and S&P 500 (+0.3%) continue to hold modest gains while the Nasdaq (-0.2%) remains in negative territory. In addition to the tech-heavy index, small cap also lag as the Russell 2000 trades lower by 0.4%. The Russell traded ahead of the remaining indices at the open, but now trails the Dow, Nasdaq, and S&P.

Even though equities have not been able to build on their opening gains, the CBOE Volatility Index (VIX 13.26, -0.01) is not indicative of an active search for protection. Meanwhile, Treasuries hover near their best levels of the session with the 10-yr yield off three basis points at 2.64%.DJ30 +95.78 NASDAQ -8.82 SP500 +4.91 NASDAQ Adv/Vol/Dec 1163/838.8 mln/1253 NYSE Adv/Vol/Dec 1540/235.2 mln/1323

11:00 am : The major averages have retreated from their opening highs and the Nasdaq (-0.3%) now trades in the red. Biotechnology has contributed to the weakness as the iShares Nasdaq Biotechnology ETF (IBB 202.35, -4.76) trades lower by 2.3%. Biotech names outperformed yesterday, but the ETF has been knocked back below its 50-day moving average (205.97) today. Although the ETF remains higher by 47.5% this year, it is down 3.5% so far in the fourth quarter.

Meanwhile, the S&P 500 has narrowed its advance to 0.2% as health care (-0.2%), industrials (-0.1%), and consumer discretionary (-0.2%) sectors weigh. Notably, the discretionary space has been pressured by apparel retailers after Abercrombie & Fitch (ANF 34.64, -3.67) issued revenue guidance below analyst estimates.DJ30 +72.98 NASDAQ -14.38 SP500 +2.81 NASDAQ Adv/Vol/Dec 1071/686.5 mln/1313 NYSE Adv/Vol/Dec 1514/196.6 mln/1313

10:35 am :

Commodities have been mostly higher today, while the dollar index has been in the red
Crude oil rallied in recent trade, hitting a new HoD. The energy component has been in positive territory all day so far and is now +1.2% at $94.53/barrel (Dec contract)
Natural gas has been modestly higher this morning and is now +0.8% at $3.49/MMBtu (Dec contract)
Metals are higher this morning
Gold and silver have been slowly inching lower from new highs on the day, which were hit in very early morning trade
Dec gold is now +0.7% at $1317.80/oz, Dec silver is +1.2% at $21.90/oz, Dec copper is +0.3% at $3.27/lb

DJ30 +0.5 NASDAQ -0.1 SP500 +0.3 NASDAQ Adv/Vol/Dec 1257/501.1 mln/1084 NYSE Adv/Vol/Dec 1743/155 mln/1087

10:00 am : The S&P 500 trades higher by 0.6% as all ten groups sport gains between 0.3% and 1.0%.

The Leading Indicators report for September increased 0.7%. That followed a 0.7% increase in August and was better than the 0.6% rise expected by the Briefing.com consensus.DJ30 +108.05 NASDAQ +12.47 SP500 +9.79 NASDAQ Adv/Vol/Dec 1476/309.7 mln/786 NYSE Adv/Vol/Dec 1961/105.7 mln/789

09:45 am : Equity indices posted opening gains with small caps pacing the early advance. The Russell 2000 is higher by 0.5% while the S&P 500 holds a more modest advance of 0.3%.

All ten S&P 500 sectors trade in positive territory with two of yesterday's laggards (energy and telecom services) in the lead. Both sectors hold gains close to 0.7% apiece and the energy space has received support from crude oil, which trades higher by 0.7% at $94.01 per barrel.

Elsewhere, the financial sector (-0.2%) trades just behind the S&P after underperforming in each of the past two sessions.

Treasuries hold modest gains with the 10-yr yield down two basis points at 2.65%.

September Leading Indicators will be released at 10:00 ET.DJ30 +63.35 NASDAQ +7.32 SP500 +5.46 NASDAQ Adv/Vol/Dec 1511/157.2 mln/688 NYSE Adv/Vol/Dec 1921/68.9 mln/744

09:13 am : [BRIEFING.COM] S&P futures vs fair value: +6.30. Nasdaq futures vs fair value: +11.10. The major averages are poised to register opening gains at the start of today's session. The S&P 500 futures trade higher by 0.4% while futures on the Nasdaq (+0.3%) have been a bit more tentative in their advance as Tesla (TSLA 154.70, -22.11) weighs. Tesla reported above-consensus earnings, but its stock trades lower by 12.5% after the company's third quarter deliveries did not surpass Street expectations. Although the stock holds a notable pre-market loss, the decline puts it back at last week's levels.

Treasuries have held their levels following yesterday's sell off. The 10-yr yield is little changed at 2.65%.

The September Leading Indicators report will be released at 10:00 ET.

09:00 am : S&P futures vs fair value: +6.30. Nasdaq futures vs fair value: +8.50. The S&P 500 futures (+0.4%) continue to hover near their best pre-market levels.

Markets across Asia ended mixed as Japan's Nikkei (+0.8%) led and China's Shanghai Composite (-0.8%) lagged. The bid in the Nikkei came after the Bank of Japan released the minutes from its latest policy meeting. The minutes suggested that while the economy is improving, and inflation is moving towards the central bank's 2.0% target, there are some concerns of a lack of growth in wages. Meanwhile, China's Shanghai Composite saw early gains evaporate as late-day selling dropped the index more than 1% in the final hour of trade. The selling did not make its way to Hong Kong as the Hang Seng ended flat. Data from the region showed Australia's trade deficit narrow to $284 million from $693 million ($450 million expected) and Indonesia's economy expand at 5.6% year-over-year, as expected.

In Japan, the Nikkei gained 0.8% as trade snapped its three-day skid. Toyota Motor added 0.5% following its solid earnings report, lifting shares of other automakers. Heavyweight Softbank was a laggard, shedding 2.1%.
Hong Kong's Hang Seng finished flat amid a choppy trade. Real estate shares were under pressure as Sino Land and Henderson Land Development both gave up 0.9%. Hong Kong Exchange was among the leaders, posting a 0.6% gain, after its quarterly beat.
In China, the Shanghai Composite settled lower by 0.8% as some late-day selling weighed. Financials were weak as Shanghai Pudong Development Bank and Ping An Bank lost 1.7% and 3.7%, respectively. On the upside, energy names were strong as Sinopec gained 2.2% and PetroChina added 4.1%.

Most major European indices hover in positive territory with France's CAC (+0.9%) leading. Among news of note, the European Commission is expected to begin probing Spanish budget data reporting procedures. Regional economic data was plentiful. Eurozone retail sales slipped 0.6% month-over-month (-0.4% expected, 0.5% prior) while the year-over-year reading increased 0.3% (0.7% consensus, -0.2% last). Separately, Services PMI rose to 51.6 from 50.9 (50.9 forecast). German factory orders rose 3.3% month-over-month (0.5% forecast, -0.3% prior) while the Services PMI increased to 52.9 from 52.3 (52.3 expected). Great Britain's industrial production rose 0.9% month-over-month (0.5% expected, -1.1% prior) while the year-over-year reading increased 2.2% (1.8% forecast, -1.5% prior). Separately, manufacturing production rose 1.2% month-over-month (1.1% expected, -1.2% last) while the year-over-year reading ticked up 0.8% (0.7% forecast, -0.2% previous). Also of note, the Halifax House Price Index increased 6.9% (7.0% expected, 6.2% last). French Services PMI rose to 50.9 from 50.2 (50.2 expected). Italian Services PMI fell to 50.5 from 52.7 (51.2 consensus). In Spain, Services PMI rose to 49.6 from 49.0 (49.0 forecast).

Great Britain's FTSE is flat. Airlines are among the advancers with easyJet and International Consolidated Airlines Group holding respective gains of 2.5% and 1.7%. On the downside, miners lag with Antofagasta lower by 1.0% and Vedanta Resources off 0.6%.
In Germany, the DAX sports an advance of 0.4% as financials contribute to the gain. Commerzbank and Deutsche Bank are higher by 0.8% and 1.5%, respectively. K+S is the weakest index component, down 3.5% after Moody's cut the company's credit rating to junk.
In France, the CAC trades up 0.9% as Alstom leads with a gain of 4.8%. Steelmakers lag with ArcelorMittal and Vallourec both down near 0.4%.

08:28 am : [BRIEFING.COM] S&P futures vs fair value: +6.60. Nasdaq futures vs fair value: +9.50. U.S. equity futures continue to hover near their pre-market highs, which puts the S&P 500 on track to erase yesterday's loss at the opening bell. With today's economic data limited to the weekly MBA Mortgage Index (-7.0% versus +6.4% prior), October Challenger Job cuts (-4.2% versus +19.1% prior), and September Leading Indicators (out at 10:00 ET), investors are directing their focus to quarterly earnings.

Apparel retailers are expected to receive some support from Fossil (FOSL 135.00, +0.98) and Polo Ralph Lauren (RL 176.01, +4.82) after both names reported better-than-expected earnings.

Elsewhere, shares of Tesla (TSLA 157.06, -19.75) weigh on the Nasdaq, trading lower by 11.1% after the company's third quarter deliveries came in ahead of the company's guidance, but right in line with market expectations.

08:05 am : S&P futures vs fair value: +6.50. Nasdaq futures vs fair value: +10.00. U.S. equity futures hover near their pre-market highs. The S&P 500 futures are higher by 0.5%.

Reviewing overnight developments:

Asian markets ended on a mixed note. Japan's Nikkei +0.8%, China's Shanghai Composite -0.8%, and Hong Kong's Hang Seng settled flat.
Economic data was limited:
Australia's trade deficit narrowed to $284 million from $693 million.
New Zealand's employment increased by 1.2% (0.6% expected, 0.4% prior) and the unemployment rate ticked down to 6.2% from 6.4% (6.3% consensus). Separately, the Labor Cost Index ticked up 0.4% quarter-over-quarter (0.5% forecast, 0.4% prior).
Indonesian GDP rose 5.6% year-over-year (5.6% forecast, 5.8% last).
Among news of note:
In China, short term Shanghai Interbank Offered Rates eased (one-week +36.6 bps to 3.87%) while the one-month rate increased over 25 basis points to 4.87%.
The Bank of Japan released the minutes from its latest policy meeting, which described the country's economic recovery as being 'on track.' However, the members expressed some concerns over the course of monetary policy in the U.S.

Major European indices hover in positive territory. Great Britain's FTSE +0.1%, Germany's DAX +0.4%, and France's CAC +0.9%.
In regional economic data:
Eurozone retail sales slipped 0.6% month-over-month (-0.4% expected, 0.5% prior) while the year-over-year reading increased 0.3% (0.7% consensus, -0.2% last). Separately, Services PMI rose to 51.6 from 50.9 (50.9 forecast).
German factory orders rose 3.3% month-over-month (0.5% forecast, -0.3% prior) while the Services PMI increased to 52.9 from 52.3 (52.3 expected).
Great Britain's industrial production rose 0.9% month-over-month (0.5% expected, -1.1% prior) while the year-over-year reading increased 2.2% (1.8% forecast, -1.5% prior). Separately, manufacturing production rose 1.2% month-over-month (1.1% expected, -1.2% last) while the year-over-year reading ticked up 0.8% (0.7% forecast, -0.2% previous). Also of note, the Halifax House Price Index increased 6.9% (7.0% expected, 6.2% last).
French Services PMI rose to 50.9 from 50.2 (50.2 expected).
Italian Services PMI fell to 50.5 from 52.7 (51.2 consensus).
In Spain, Services PMI rose to 49.6 from 49.0 (49.0 forecast).
In news:
The European Commission is expected to begin probing Spanish budget data reporting procedures.

In U.S. corporate news:

Chesapeake (CHK 28.80, +0.66): +2.4% after beating earnings estimates by one cent on above-consensus revenue.
Fossil (FOSL 134.80, +0.78): +0.6% after beating on earnings and revenue. However, the company guided fourth-quarter earnings and revenue below analyst estimates.
Humana (HUM 93.00, -0.95): -1.0% despite reporting a bottom-line beat.
Office Depot (ODP 5.70, +0.05): +0.9% after missing earnings estimates by four cents and announcing the completion of its merger with OfficeMax (OMX 15.26, -0.04).
Tesla Motors (TSLA 157.40, -19.41): -11.0% after beating bottom-line estimates by two cents. However, the company's third quarter deliveries surpassed the company's guidance, but were essentially in-line with market expectations.
Time Warner (TWX 69.82, +1.59): +2.3% after reporting a bottom-line beat on below-consensus revenue.
Zillow (Z 88.00, +5.69): +6.9% after beating on earnings and revenue.

The weekly MBA Mortgage Index fell 7.0% to follow last week's increase of 6.4%. Separately, the October Challenger Job cuts reading decreased 4.2% after increasing 19.1% in September.

September Leading Indicators will be released at 10:00 ET.

07:22 am : [BRIEFING.COM] S&P futures vs fair value: +7.00. Nasdaq futures vs fair value: +11.00.

07:22 am : Nikkei...14337.31...+111.90...+0.80%. Hang Seng...23036.94...-2.00...0.00.

07:22 am : FTSE...6752.05...+5.20...+0.10%. DAX...9044.73...+36.00...+0.40%.

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/wrbtrader

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