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


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

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $200.00 dollars or +2.00 points, EuroFX 6E futures @ $0.00 dollars or +0.0000 ticks and Light Crude Oil CL (WTI) futures @ $1280.00 dollars or +1.28 points. Total Profit @ $1480.00 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 on the Freenode IRC network (chat room no longer located on the Othernet IRC network). You can read today's ##TheStrategyLab 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=113&t=1423

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.

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=199&t=1715

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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 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, Gold GC futures, Oil CL & Brent futures, Eurex DAX futures, Emini ES futures, Emini TF futures, Treasury ZB futures) 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.






Market Update

4:20 pm : The major averages ended today's session largely where they began. The S&P 500 and Dow registered modest losses, while the Nasdaq added 0.2%, seeing relative outperformance from Apple (AAPL 449.83, +9.95). The largest tech stock ended higher by 2.3% after disappointing earnings caused it to lose nearly 13.0% last week.

While Apple contributed to the relative strength of tech stocks, the remainder of the sector traded in mixed fashion. A notable sector component, Seagate (STX 37.41, +0.16), gained 0.4% ahead of its earnings report scheduled for an after-hours release. An upbeat report has been largely priced-in as Seagate has soared nearly 50.0% in the eight weeks leading into this evening's report. The Capital IQ consensus expects the hard drive manufacturer to report earnings of $1.27 on $3.57 billion in revenue.

As tech stocks registered gains, the materials sector was the weakest performer. The observed weakness resulted from a Goldman Sachs downgrade of the U.S. steel sector. Following the downgrade, steel stocks saw broad selling and the Market Vectors Steel ETF (SLX 48.26, -0.70) shed 1.4%.

While materials lagged notably, the discretionary sector also exerted some downside pressure on equity indices. One pocket of weakness was among homebuilders, which slipped to their respective lows after the December pending home sales report pointed to a 4.3% month-over-month decline. Among individual builders, PulteGroup (PHM 20.96, -0.71) lost 3.3% and Lennar (LEN 41.91, -1.16) shed 2.7%. Meanwhile, the broader SPDR S&P Homebuilders ETF (XHB 28.81, -0.30) slipped 1.0%.

Elsewhere in the discretionary space, Jos. A. Bank (JOSB 39.28, -6.99) plunged 15.1% after the company said it expects its full-year 2012 net income to come in roughly 20.0% below its 2011 level. The cautious guidance spilled over to other apparel producers, which traded with a bearish bias.

On the earnings front, the market received just one notable report ahead of today's open. Caterpillar (CAT 97.45, +1.87) ended higher by 2.0% after the industrial heavyweight reported mixed results. Though the company beat the Capital IQ earnings estimate, its bottom line suffered a year-over-year decline of 17.7%.

Crude oil climbed steadily during afternoon trade and ended higher by 0.7%. The energy component settled at $96.51 after trading in a relatively narrow range.

Although the key indices ending mixed, the CBOE Volatility Index (VIX 13.63, +0.74) added 5.7%. This move suggested that near-term downside protection continued receiving interest.

Trading volume was below average as just under 650 million shares changed hands on the floor of the New York Stock Exchange.

Looking at the S&P 500 sectors, technology (+0.3%) led the way while telecoms (+0.2%), and consumer staples (+0.1%) followed closely. On the downside, materials (-1.0%), consumer discretionary (-0.5%), and financials (-0.5%) lagged.

Besides the previously mentioned December pending home sales report, the market received news of December durable goods orders.

The Census Bureau reported that December durable goods orders rose by 4.6%. This was well ahead of the 1.6% increase which had been forecast by the Briefing.com consensus. As expected, aircraft orders were a primary factor for the surge in orders. Nondefense aircraft orders increased 10.1% while defense aircraft orders rose 56.4%.

Excluding transportation related items, durable goods orders increased by 1.3%, which was better than the unchanged reading that had been broadly anticipated. The increase in ex-transportation orders was at odds with the contractions reported by many of the regional manufacturing surveys. Surprisingly, the gains in orders outside of transportation were due to strong demand for primary metals (3.6%) and fabricated metals (1.2%). This could suggest that manufacturers of finished goods are demanding more raw materials because they expect demand to rise in the near future.

In tomorrow's economic data, the November Case-Shiller 20-city Index will be reported at 9:00 ET. In addition, January consumer confidence will cross the wires at 10:00 ET. In notable earnings, Ford Motor (F 13.78, +0.20) will report its fourth quarter results ahead of the open.

The U.S. Treasury will auction off $35 billion in 5-yr notes.DJ30 -14.05 NASDAQ +4.59 SP500 -2.78 NASDAQ Adv/Vol/Dec 1404/1.80 bln/1072 NYSE Adv/Vol/Dec 1294/646.8 mln/1715

3:30 pm :

Mar crude oil erased early morning gains as it fell off its session high of $96.81 per barrel to a session low of $95.47 per barrel. However, the energy component got a boost from higher gasoline prices following news that Hess (HES) was closing its Port Reading, New Jersey refinery. It climbed back into positive territory and settled with a 0.6% gain at $96.45 per barrel.
Feb natural gas traded lower for a fifth consecutive session as forecasts for mild weather weighed on prices. After trading near the $3.31 per MMBtu level for most of the session, it settled with a 4.4% loss at $3.29 per MMBtu.
Feb gold chopped around just below the unchanged line for most of today's floor trade as the dollar index traded slightly higher. It brushed a session high of $1659.20 per ounce in positive territory but quickly fell into the red. It eventually settled 0.2% lower at $1653.10 per ounce.
Mar silver retreated from its session high of $31.09 per ounce set at pit trade open and trended lower for the remainder of the session. It ultimately settled at $30.78 per ounce, or 1.3% lower.

DJ30 -3.69 NASDAQ +0.22 SP500 -1.58 NASDAQ Adv/Vol/Dec 1350/1543.8 mln/1134 NYSE Adv/Vol/Dec 1262/430 mln/1728

3:00 pm : The key indices are trading near their opening levels as the final hour of trade begins. The Nasdaq remains as the top performing index, up 0.3%. Meanwhile, the S&P 500 and Dow are seeing little change.

This morning, the market received just one notable earnings report. Caterpillar (CAT 97.35, +1.77) is rising by 1.9% after beating on earnings. Even though the producer of heavy machinery beat on earnings, its fourth quarter bottom line suffered a 17.7% year-over-year decline.

Tomorrow morning, the market will receive the quarterly report of another economic bellwether when Ford (F 13.72, +0.14) reports its fourth quarter earnings. The Capital IQ consensus expects the automaker to announce earnings of $0.26 on $32.88 billion in revenue.DJ30 +9.29 NASDAQ +11.13 SP500 -0.21 NASDAQ Adv/Vol/Dec 1395/1.37 bln/1070 NYSE Adv/Vol/Dec 1334/384.3 mln/1635

2:30 pm : The major averages remain confined to narrow afternoon ranges as the three continue to trade near their respective unchanged levels. The Nasdaq is the an outlier as it trades with a gain of 0.3%.

Tech shares have been displaying relative strength throughout the day, and the largest tech stock, Apple (AAPL 450.54, +10.67), is adding 2.4%. Elsewhere, semiconductor manufacturers are trading with a bullish bias. The PHLX Semiconductor Index is adding 0.4%.

Though several major tech names have already reported their fourth quarter earnings, Seagate (STX 37.53, +0.28) and Yahoo! (YHOO 20.30, -0.07) are set to announce their results after today's close. Both stocks have seen recent strength as Seagate has soared nearly 50.0% since December 1 while Yahoo! has added over 9.0% during the same timeframe.DJ30 +2.57 NASDAQ +9.22 SP500 -0.81 NASDAQ Adv/Vol/Dec 1331/1.27 bln/1132 NYSE Adv/Vol/Dec 1304/354.7 mln/1664

2:00 pm : Quiet afternoon trade continues as the key indices hold near their recent levels. The Nasdaq, which has held in the black for the bulk of the session, is now adding just 0.1%. Apple (AAPL 449.26, +9.38), which is contributing to the outperformance, is now higher by 2.1% after seeing earlier gains in excess of 3.0%.

As technology stocks continue to outperform, the biggest weakness can be spotted among materials and consumer discretionary shares. In the materials space, steelmakers are underperforming after Goldman Sachs downgraded the U.S. steel sector to 'Cautious' from 'Neutral.'

Also of note, homebuilders are broadly lower following the December pending home sales report, which pointed to a 4.3% decline in sales during the final month of 2012. The iShares Dow Jones US Home Construction (ITB 23.15, -0.48) is down 2.0%.DJ30 -7.50 NASDAQ +2.34 SP500 -1.93 NASDAQ Adv/Vol/Dec 1278/1.15 bln/1148 NYSE Adv/Vol/Dec 1247/324.1 mln/1672

1:30 pm : After slipping off their respective highs, the key indices have returned to the middle of their range. The mixed sentiment persists as the major averages have yet to stage a meaningful directional move.

Technology stocks are today's bright spot and Apple (AAPL 446.44, +6.56) is adding 1.5% after losing nearly 13.0% over the course of last week.

On the downside, steel producers are trading lower across the board after Goldman Sachs issued a downgrade of the U.S. steel space. The Market Vectors Steel ETF (SLX 48.37, -0.59), which tracks the performance of steelmakers, is down 1.2%.

The discretionary space is also exerting downward pressure on the markets after December pending home sales declined by 4.3%, which was worse than the unchanged reading forecast by the Briefing.com consensus. The disappointing report caused major homebuilders to slip to their session lows. Lennar (LEN 41.84, -1.23) and Toll Brother (TOL 37.19, -0.79) are down 2.9% and 2.1% respectively.DJ30 -16.47 NASDAQ +1.31 SP500 -3.16 NASDAQ Adv/Vol/Dec 1237/1.06 bln/1190 NYSE Adv/Vol/Dec 1148/300.6 mln/1763

1:00 pm : The major averages began today's session on a mixed note, and the sentiment continues to hold at midday. Notably, the Nasdaq is the top performing index as it adds 0.4%. The relative strength comes as Apple (AAPL 450.57, +10.69) trades higher by 2.4% after reports indicated the company's first quarter shipments of iMac products are expected to increase.

Elsewhere in the tech sector, microprocessor manufacturers are seeing relative strength and the PHLX Semiconductor Index is adding 0.3%.

Also note that hard drive maker, Seagate (STX 37.47, +0.22), is adding 0.6% prior to its quarterly report scheduled for this evening. Expectations for a strong report have been largely priced-in as the stock has surged nearly 50.0% in the eight weeks leading up to today's after-hours report.

While technology stocks outperform, the materials sector is the biggest laggard. The space is off by 1.0% after Goldman Sachs downgraded the U.S. steel sector to 'Cautious' from 'Neutral.' The downgrade is causing steel stocks to trade broadly lower with the Market Vectors Steel ETF (SLX 48.43, -0.53) down 1.1%.

The broader market is also being pressured by the discretionary sector where homebuilders are seeing general weakness. This comes after the December pending home sales report indicated a 4.3% decline in sales. DR Horton (DHI 21.37, -0.39) and PulteGroup (PHM 21.14, -0.53) are seeing respective losses of 1.8% and 2.5%. Meanwhile, the SPDR S&P Homebuilders ETF (XHB 28.74, -0.37) is down 1.3%.

Additionally, apparel stocks are trading with a bearish bias after Jos. A Bank (JOSB 38.10, -8.17) said it expects its 2012 net income to come in roughly 20.0% below its 2011 level. Shares of Jos. A Bank are plunging 17.7% following the downside guidance.

This morning's only notable earnings report came from Caterpillar (CAT 96.99, +1.41). The producer of industrial equipment is rising by 1.5% after beating on the bottom line. Though the company exceeded the Capital IQ consensus estimate, its earnings declined by 17.7% year-over-year and its revenue slid 6.8%.

As the major averages trade in mixed fashion, the CBOE Volatility Index (VIX 13.59, +0.70) is adding 5.4% suggesting near-term downside protection is receiving intraday interest.

In addition to December pending home sales, the market also received economic data from the Census Bureau. In December, durable goods rose by 4.6%, which was well ahead of the 1.6% increase which had been forecast by the Briefing.com consensus. As expected, aircraft orders were a primary factor for the surge in orders. Nondefense aircraft orders increased 10.1% while defense aircraft orders rose 56.4%.

Excluding transportation related items, durable goods orders increased by 1.3%, which was better than the unchanged reading that had been broadly anticipated.DJ30 -11.75 NASDAQ +6.47 SP500 -2.03 NASDAQ Adv/Vol/Dec 1265/987.5 mln/1154 NYSE Adv/Vol/Dec 1183/282.2 mln/1716

12:30 pm : The Nasdaq remains as the top performing average as the 2.7% advance in the shares of Apple (AAPL 451.78, +11.90) contributes to the strength of the tech-heavy index.

Meanwhile, the S&P 500 has inched back near its flat line after a disappointing December pending home sales report contributed to the morning weakness. However, as the benchmark index pares its earlier losses, homebuilders continue to trade near their lows. The iShares Dow Jones US Home Construction ETF (ITB 23.26, -0.37) is shedding 1.6%.

While homebuilders weigh, the industrial sector is outperforming after Caterpillar (CAT 97.07, +1.49) reported mixed earnings. The producer of heavy machinery is rising by 1.6% following a bottom line beat.DJ30 -14.48 NASDAQ +8.79 SP500 -1.88 NASDAQ Adv/Vol/Dec 1296/892.5 mln/1103 NYSE Adv/Vol/Dec 1208/259.6 mln/1687

12:00 pm : Equity indices have continued to climb off their lows. The Nasdaq is at a fresh session high as the strength observed in the shares of Apple (AAPL 452.26, +12.38) helps support other tech stocks. Outside of Apple, the technology sector is seeing relative strength and semiconductor manufacturers are outperforming. The PHLX Semiconductor Index is adding 0.5%.

Also of note, Seagate (STX 37.61, +0.36) is rising by 1.0% ahead of its quarterly earnings report scheduled for this evening. The Capital IQ consensus expects the hard drive manufacturer to announce earnings of $1.27 on revenue of $3.57 billion. Since December 1, shares of Seagate have rallied nearly 50%.

Looking at the broader S&P 500, the index continues to trade in the red as the materials sector weighs. The weakness results from an earlier downgrade of the U.S. steel sector by Goldman Sachs. Following the downgrade, steel stocks are underperforming and the broader Market Vectors Steel ETF (SLX 48.48, -0.48) is down 1.0%.

Elsewhere, the blue chip Dow Jones is flat. The index is outperforming the S&P 500 as Caterpillar (CAT 97.60, +2.02) contributes to the relative strength. The producer of industrial equipment is rising by 2.1% after beating on earnings.DJ30 -0.38 NASDAQ +11.31 SP500 -0.55 NASDAQ Adv/Vol/Dec 1250/788.5 mln/1136 NYSE Adv/Vol/Dec 1208/236.6 mln/1678

11:30 am : The S&P 500 and Dow are registering modest losses as they trade near the middle of their respective ranges. Meanwhile, the Nasdaq is the top performing index as it adds 0.1% thanks to the relative strength of Apple (AAPL 450.52, +10.64).

The S&P 500 is being weighed down in part by steel stocks after Goldman Sachs downgraded the U.S. steel sector to 'Cautious' from 'Neutral.' The Market Vectors Steel ETF (SLX 48.35, -0.61) is shedding 1.3% in response to the news.

Additionally, discretionary shares are being pressured by homebuilders. The relative weakness in builder stocks follows this morning's pending home sales report, which pointed to a 4.3% decline in sales during December. The SPDR Homebuilders ETF (XHB 28.71, -0.40) is down 1.4%.

On the upside, industrial stocks are registering slimmer losses than the broader market. The sector is displaying relative strength after Caterpillar (CAT 97.02, +1.44) reported mixed quarterly results. Though the manufacturer of industrial equipment missed on the top line, its earnings of $1.91 beat the Capital IQ consensus estimate by $0.19.DJ30 -9.91 NASDAQ +4.42 SP500 -2.49 NASDAQ Adv/Vol/Dec 1127/666.5 mln/1237 NYSE Adv/Vol/Dec 1065/207.2 mln/1819

11:00 am : The key indices have lifted off their lows following a recent stumble. The S&P 500 is the worst performing index, down 0.2%. Meanwhile, the Nasdaq is adding 0.1% as it outperforms. The relative strength of the tech-heavy index comes as Apple (AAPL 448.80, +8.92) trades higher by 2.1%.

The S&P 500 extended its early weakness after the pending home sales report indicated a 4.3% decline in December sales. This disappointing reading contributed to weakness among homebuilders. DR Horton (DHI 21.39, -0.37) and Lennar (LEN 42.12, -0.95) are down 1.7% and 2.2% respectively. Meanwhile, the SPDR Homebuilders ETF (XHB 28.63, -0.48) is shedding 1.7%.

While builders are exerting pressure on the discretionary sector, stocks in the materials space are exhibiting the most notable weakness. This comes after Goldman Sachs downgraded the U.S. steel sector to 'Cautious' from 'Neutral.' Cliffs Natural Resources (CLF 35.00, -0.71) is shedding 2.0% and the Market Vectors Steel ETF (SLX 48.33, -0.63) is down 1.3%.DJ30 -17.43 NASDAQ +2.64 SP500 -3.56 NASDAQ Adv/Vol/Dec 1061/559.5 mln/1287 NYSE Adv/Vol/Dec 959/179.6 mln/1897

10:30 am : Commodities are showing some real volatility this morning. Crude oil futures (Mar contract) surged higher earlier this morning to as high as $96.81/barrel, but have since given back those gains. Mar crude is now -0.02% at $95.86/barrel.

Natural gas futures on the other hand have been showing notable losses all session and have traded as low as $3.30/MMBtu. In current trade, Mar natural gas is -3.6% at $3.32/MMBtu. Copper futures were surging higher earlier along with crude, but have also erased its gains and is now at the unchanged mark at $3.65/lb.

Precious metals haven't been very exciting this morning. Mar silver is currently -0.7% at $30.98/oz, while Feb gold is trading -0.03% at $1656.10/oz.DJ30 -17.13 NASDAQ +5.04 SP500 -3.53 NASDAQ Adv/Vol/Dec 1015/414.4 mln/1250 NYSE Adv/Vol/Dec 946/152 mln/1871

10:00 am : The major averages have slipped off their highs and the S&P 500 is off by 0.2%.

Pending home sales for December declined by 4.3%, which was worse than the unchanged reading forecast by the Briefing.com consensus. Today's reading follows last month's uptick of 1.7%.DJ30 -12.56 NASDAQ +6.34 SP500 -3.28 NASDAQ Adv/Vol/Dec 1168/261.3 mln/1032 NYSE Adv/Vol/Dec 1065/109.1 mln/1677

09:45 am : The opening minutes of the session have seen mixed performance from the major averages. The Nasdaq is adding 0.2% while the S&P 500 is off by 0.1%. Also note that the 10-yr yield has climbed above 2.00% for the first time since April 25.

The major averages begin the week at multi-year highs with several notable economic data points scheduled to be released this week. Most notably, the advanced fourth quarter GDP reading will be reported on Wednesday.

Today, the market received news from the Census Bureau which said December durable goods rose by 4.6%, which was well ahead of the 1.6% increase which had been forecast by the Briefing.com consensus. As expected, aircraft orders were a primary factor for the surge in orders. Nondefense aircraft orders increased 10.1% while defense aircraft orders rose 56.4%. Excluding transportation related items, durable goods orders increased by 1.3%, which was better than the unchanged reading that had been broadly anticipated.

While today's data paints a positive outlook for Boeing (BA 74.33, -0.70), the aircraft manufacturer is slipping 0.7% after Reuters reported that a reason for electrical fires aboard the Dreamliner remains unknown.

In notable earnings, Caterpillar (CAT 98.10, +2.52) is advancing 2.7% following a mixed report. While Caterpillar beat on the bottom line, its revenue fell short of the Capital IQ consensus. In addition, the company expects first quarter revenue to decline more than $2 billion year-over-year from the $16 billion recorded during the first quarter of 2012.

December pending home sales will be announced at 10:00 ET.DJ30 +14.29 NASDAQ +7.86 SP500 -0.74 NASDAQ Adv/Vol/Dec 1189/166.3 mln/911 NYSE Adv/Vol/Dec 1292/84.9 mln/1388

09:15 am : [BRIEFING.COM] S&P futures vs fair value: +0.50. Nasdaq futures vs fair value: +0.70. Heading into the open, equity futures are indicating a modestly higher start to the session. Earlier, the market received an upbeat piece of economic data when the Census Bureau reported that December durable goods orders rose by 4.6%. This was well ahead of the 1.6% increase which had been forecast by the Briefing.com consensus. As expected, aircraft orders were a primary factor for the surge in orders. Nondefense aircraft orders increased 10.1% while defense aircraft orders rose 56.4%.

Excluding transportation related items, durable goods orders increased by 1.3%, which was better than the unchanged reading that had been broadly anticipated. The increase in ex-transportation orders was at odds with the contractions reported by many of the regional manufacturing surveys. Surprisingly, the gains in orders outside of transportation were due to strong demand for primary metals (3.6%) and fabricated metals (1.2%). This could suggest that manufacturers of finished goods are demanding more raw materials because they expect demand to rise in the near future.

Today's only notable earnings report came from Caterpillar (CAT 97.96, +2.38). The producer of heavy machinery is adding 2.5% following mixed quarterly results. While Caterpillar beat on the bottom line, its revenue fell short of the Capital IQ consensus. In addition, the company expects first quarter revenue to decline more than $2 billion year-over-year from the $16 billion recorded during the first quarter of 2012.

December pending home sales will be announced at 10:00 ET.

The U.S. Treasury will auction off $35 billion in 2-yr notes.

09:00 am : [BRIEFING.COM] S&P futures vs fair value: +1.50. Nasdaq futures vs fair value: +2.00.

U.S. equity futures are near their pre-market highs with the S&P 500 futures adding 0.3%.

The major Asian bourses ended mostly higher as China's Shanghai Composite (+2.4%) outperformed after the announcement profits at major industrial enterprises posted a 5.3% year-over-year advance. Also fueling the gains were a couple reports suggesting the Middle Kingdom's economy would grow at 8.0%+ in 2013. Elsewhere, Japan's Nikkei (-0.9%) lagged as traders booked profits.

In Japan, the Nikkei slipped 0.9% after early buying propelled the index to its best level since February 2011. Robotics maker Fanuc tumbled 7.0% after cutting its operating forecast following Friday's close. Elsewhere, Advantest gave up 5.3% after noting the potential for a decline in year-over-year earnings.
Hong Kong's Hang Seng added 0.4% to close at a 21-month high. Property stocks outperformed as China Resources Land added 2.2% and shippers lagged with China Cosco shedding 5.1% after issuing a profit warning.
In China, the Shanghai Composite gained 2.4%, hitting its best level in seven months. Industrial stocks climbed as Sany Heavy surged 5.2% and Zoomlion Heavy Industry Science & Technology jumped 3.7%. Meanwhile, brokerage names were also strong with Haitong Securities and Citic Securities adding 8.2% and 5.9% respectively.

European markets are seeing little change amid quiet trade. Looking at economic data, the Eurozone reported 3.3% year-over-year M3 Money Supply growth. This was below the generally expected uptick of 3.9%. Meanwhile, Eurozone private loans declined by 0.7% year-over-year, in-line with expectations. Elsewhere, Italian consumer confidence reading of 84.6 surprised to the downside as the market had expected the measure to reach 86.0.

In news, Germany auctioned off 12-month bills at a yield of 0.131%. This was the first 12-month debt auction with a positive yield since June. Also of note, European Central Bank member, Luc Coene, said the Eurozone would need to see another recession before further lowering of interest rates becomes an option.

In Germany, the DAX is flat as carmakers and financials outperform. Deutsche Bank is adding 0.7% and Volkswagen is higher by 1.6%. On the downside, utilities are lagging. E.ON and RWE are seeing respective losses of 2.1% and 0.9%.
France's CAC is adding 0.1% as financials lead. Credit Agricole and Societe Generale are higher by 2.0% and 1.0% respectively. Meanwhile, industrials are seeing relative weakness. Lafarge is shedding 1.6% and Vallourec is down 1.0%.
In the United Kingdom, the FTSE is rising by 0.2%. Similar to the rest of the region, financials are showing strength. Barclays and HSBC Holdings are both up near 1.0%. On the downside, steelmaker Evraz is the biggest laggard, down 2.5%.

08:34 am : [BRIEFING.COM] S&P futures vs fair value: +0.30. Nasdaq futures vs fair value: +1.70. Equity futures ticked higher in reaction to the latest durable goods orders. The S&P 500 futures are up 0.2%.

December durable goods orders increased by 4.6%, which was better than the 1.6% increase that had been expected among economists polled by Briefing.com. This comes after the prior month's reading was revised up to reflect an increase of 0.8%.

Excluding transportation related items, durable goods orders increased by 1.3%, which was better than the no change that had been broadly anticipated.

08:00 am : S&P futures vs fair value: flat. Nasdaq futures vs fair value: +2.20.

U.S. equity futures are near their pre-market highs amid flat European trade. The S&P 500 futures are adding 0.2%.

Looking at overseas developments:

Asian markets finished on a mixed note. China's Shanghai Composite gained 2.4%, Hong Kong's Hang Seng tacked on 0.4% while Japan's Nikkei lost 0.9%.
In regional economic data:
Japan's Corporate Services Price Index was reported at -0.4%, which was slightly ahead of the -0.5% forecast by the general consensus.
South Korea's consumer confidence reading of 102 was slightly ahead of the 99 expected by the market.
Looking at news:
A People's Bank of China governor expects the country's 2013 GDP growth to reach 8.0%. Meanwhile, Standard Chartered sees growth of 8.3%.
Japan's cabinet expects the country's 2013 GDP to grow at 2.5% with CPI growth of around 0.5%.

European indices are seeing little change at midday. Germany's DAX is off by 0.1% while France's CAC and the United Kingdom's FTSE are both flat.
Looking at economic data:
The Eurozone reported 3.3% year-over-year M3 Money Supply growth. This was below the generally expected 3.9%.
Eurozone private loans declined by 0.7% year-over-year, in-line with expectations.
Italian consumer confidence reading of 84.6 surprised to the downside as the market had expected the measure to reach 86.0.
In news:
Germany auctioned off 12-month bills at a yield of 0.131%. This was the first 12-month debt auction with a positive yield since June.
European Central Bank member, Luc Coene, said the Eurozone would need to see another recession before further lowering of interest rates becomes an option.

In U.S. corporate news:

Caterpillar (CAT 96.29, +0.71) is adding 0.7% following mixed quarterly results. While Caterpillar's earnings eclipsed the Capital IQ consensus estimate, its revenue fell short of expectations. In addition, the producer of industrial machinery expects first quarter revenue to fall more than $2 billion year-over-year from the $16 billion recorded during the first quarter of 2012.
Corning (GLW 12.00, -0.24) is off by 2.0% after Barclays downgraded the stock to 'Equal Weight' from 'Overweight.'
Jos. A. Bank (JOSB 36.54, -9.73) is plunging 21.0% after lowering its guidance. For fiscal year 2012, the company expects its net income to fall roughly 20% below its 2011 net income.

December durable goods and durable goods ex-transportation will be reported at 8:30 ET. In addition, December pending home sales will be announced at 10:00 ET.

The U.S. Treasury will auction off $35 billion in 2-yr notes.

06:24 am : [BRIEFING.COM] S&P futures vs fair value: -1.50. Nasdaq futures vs fair value: -2.50.

06:24 am : Nikkei...10824.31...-102.30...-0.90%. Hang Seng...23671.88...+91.50...+0.40%.

06:24 am : FTSE...6284.21...-0.20...0.00. DAX...7854.34...-3.70...-0.10%.

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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