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 @ $330.00 dollars or +3.30 points, EuroFX 6E futures @ $0.00 dollars or +0.0000 ticks and Light Crude Oil CL (WTI) futures @ $0.00 dollars or +0.00 points. Total Profit @ $330.00 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=114&t=1433

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=203&t=1751

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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, 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 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 : Equities ended the day with slim losses causing the S&P 500 to slip 0.2%. Though stocks saw little change at the outset of the session, sellers were able to take control within the first 30 minutes, and drive the major averages to their respective lows.

The early broad-based weakness came about as the dollar index spiked to its highs in the 80.20 area. The sharp move took place after European Central Bank President Mario Draghi voiced concerns over the strength of the euro. The common currency weakened immediately following his remarks, falling to its session low near 1.3400 against the greenback.

The morning dollar strength had a negative impact on commodities and commodity-related stocks. As such, the materials sector was pressured, and ended as the weakest performer today. The SPDR Materials Select Sector ETF (XLB 39.15, -0.21) shed 0.5%.

High-beta sectors underperformed for the duration of the day. Technology stocks lagged despite the outperformance from Apple (AAPL 468.22, +13.52). The largest tech stock saw intraday strength after activist investor, David Einhorn, said the company has a cash problem, thinking it can never have enough of it, and its preferred stock should yield 8.0%. Shares of Apple spiked to fresh highs in afternoon trade after the company responded to Mr. Einhorn's comments by saying it will "thoroughly evaluate" the proposal.

Elsewhere in technology, microprocessor manufacturers lagged as disappointing earnings from Peregrine Semiconductor (PSMI 9.41, -1.57) weighed. The broader PHLX Semiconductor Index ended lower by 0.6%.

In notable tech earnings, Akamai Technologies (AKAM 35.26, -6.32) plunged 15.2% after the company missed on the top line and issued cautious revenue guidance.

Today, retailers reported their same store sales for the month of January. While most names reported results ahead of the Retail Metrics consensus, their stocks received a mixed investor response. The SPDR S&P Retail ETF (XRT 67.47, -0.31) settled lower by 0.5%.

While retailers and discretionary stocks traded in-line with the broader market, consumer staples outperformed. The sector was the top advancer thanks to relative strength of cigarette producers. The largest industry component, Philip Morris (PM 89.82, +2.13), rose 2.4% after beating on earnings.

Defensive-minded trade also favored the utilities sector which held slight gains throughout the day. Sector component Exelon (EXC 31.37, +0.39) added 1.3% despite guiding first quarter earnings below consensus. However, the electricity producer expects a better second half with full-year 2013 earnings in-line with analyst expectations.

As mentioned earlier, the materials (-0.6%) sector was the weakest, followed by energy (-0.5%), financials (-0.4%), and telecoms (-0.4%). Meanwhile, consumer staples (+0.5%), and utilities (+0.2%) outperformed.

Volume was below-average with just 664 million shares changing hands on the floor of the New York Stock Exchange.

The day's economic data did little to influence the trading sentiment. Initial claims were reported at 366,000, which puts the figure right inside of last year's 350,000-400,000 range.

Meanwhile, the 2.0% drop in fourth quarter productivity was the result of a very small increase in output (0.1%) combined with a solid increase in hours worked (2.2%).

Lastly, unit labor costs increased 4.5% after declining 2.3% in the third quarter. That was the biggest increase in unit labor costs since increasing 6.4% in Q1 2012.

Tomorrow, the December trade balance will be reported at 8:30 ET while December wholesale inventories will be announced at 10:00 ET. Among notable earnings, CBOE Holdings (CBOE 34.30, +0.07) and Louisiana-Pacific (LPX 20.49, +0.25) will report their quarterly results ahead of the opening bell.DJ30 -42.47 NASDAQ -3.35 SP500 -2.73 NASDAQ Adv/Vol/Dec 934/1.87 bln/1519 NYSE Adv/Vol/Dec 1283/663.7 mln/1706

3:30 pm :

Mar crude oil fell off its session high of $97.21 per barrel and into negative territory as the dollar index gained strength on ECB President Mario Draghi's concerns over the recent rise in the euro as he discussed trade imbalance. The energy component brushed a session low of $95.55 per barrel and settled with a 0.8% loss at $95.84 per barrel.
Mar natural gas fell for the first time this week following weaker than anticipated inventory data that showed a draw of 118 bcf when a draw of 128 bcf was expected. It traded as high as $3.43 per MMBtu in early morning action but tumbled to a session low of $3.28 per MMBtu moments before settling 3.8% lower at $3.29 per MMBtu.
Apr gold traded in volatile fashion as investors digested President Draghi's comments. The yellow metal slid to a session low of $1663.40 per ounce as the dollar index rose. Despite recovering into positive territory and brushing a session high of $1683.90 per ounce, gold pulled-back as it headed into afternoon pit trade and ultimately settled 0.4% lower at $1671.40 per ounce.
Mar silver also fell to a session low of $31.30 per ounce following Draghi's comments and later climbed to a session high of $31.90 per ounce. Like gold, it lost steam in late morning action and closed 1.4% lower at $31.40 per ounce.

DJ30 -51.03 NASDAQ -14.71 SP500 -4.84 NASDAQ Adv/Vol/Dec 877/1580 mln/1574 NYSE Adv/Vol/Dec 1192/466 mln/1786

3:05 pm : The S&P 500 is off by 0.3% as the index hovers near the middle of the day's range.

According to the Federal Reserve, consumer credit increased by $14.6 billion in December. This follows the prior month's $16.0 billion increase, and is higher than the $11.9 billion that had been broadly expected among economists polled by Briefing.com.DJ30 -46.58 NASDAQ -13.85 SP500 -4.71 NASDAQ Adv/Vol/Dec 876/1.45 bln/1570 NYSE Adv/Vol/Dec 1151/426.6 mln/1821

2:30 pm : Quiet afternoon trade continues as the major averages attempt to overcome the morning weakness. The S&P 500 climbed steadily off its lows, but the benchmark index had difficulty breaking through the 1509 level. Currently, the S&P 500 is off by 0.4%, at 1506.

Though high-beta sectors sold off at the open, afternoon trade has seen a partial recovery in many areas. Materials remain as the biggest laggard with a stronger dollar weighing on commodities and commodity-related stocks.

On the upside, consumer staples and utilities have outperformed for the duration of the session, and they continue to do so as trade enters the final 90 minutes. Today's economic data will be topped off with December consumer credit. This report will be released in 30 minutes.DJ30 -53.72 NASDAQ -15.99 SP500 -5.63 NASDAQ Adv/Vol/Dec 885/1.35 bln/1550 NYSE Adv/Vol/Dec 1123/395.3 mln/1828

2:00 pm : The S&P 500 is off by 0.3% as the index attempts to stage an afternoon recovery. While equities sold off broadly at the start, the major averages have shown resilience as bargain hunters stepped in. A defensive bias persists in today's trade as high-beta sectors trade with comparable losses. Meanwhile, utilities and consumer staples have outperformed throughout the session. The two sectors are seeing respective gains of 0.3% and 0.4%.

Notably, the CBOE Volatility Index (VIX 14.06, +0.65) is adding nearly 5.0%. The near-term volatility measure is slipping off its session highs as the market rises, but the term structure of VIX futures reveals a modest decline in August, September, and October VIX futures.DJ30 -49.06 NASDAQ -11.63 SP500 -4.46 NASDAQ Adv/Vol/Dec 903/1.25 bln/1523 NYSE Adv/Vol/Dec 1197/368.5 mln/1742

1:30 pm : The key indices continue to trade near their recent levels with the S&P 500 down 0.5%. The defensive mindset is being favored by investors as consumer staples and utilities trade higher despite the broader market weakness.

Recent action has seen a handful of casino and gaming names move higher after reports indicated New Jersey Governor Chris Christie vetoed a bill allowing New Jersey residents to take part in online gambling. However, Governor Christie said he will support a law with a 10-yr trial. Though the veto poses an immediate challenge to the proposed measure, the Governor's support bodes well for the future of online gamblin legislation. Boyd Gaming (BYD 7.39, +0.48), Caesars Entertainment (CZR 9.26, +0.77), and Zynga (ZNGA 3.06, +0.07) all notched fresh highs in light of the recent reports.DJ30 -80.86 NASDAQ -18.65 SP500 -7.41 NASDAQ Adv/Vol/Dec 789/1.15 bln/1637 NYSE Adv/Vol/Dec 1053/338.5 mln/1895

1:00 pm : The S&P 500 is lower by 0.5% at midday. The major averages saw little change at the open, but sellers were quick to take control and drive the key averages to their lows shortly thereafter.

Equities suffered their early stumble in a move which coincided with the strengthening of the dollar. The U.S. dollar index spiked to its highs in the 80.20 area with the bulk of the strength coming at the expense of the euro. This occurred after European Central Bank President Mario Draghi expressed concerns over the recent rise in the euro.

The rise in the dollar index also has a negative impact on dollar-denominated commodities. As a result, the materials sector is the day's weakest performer with the SPDR Materials Select Sector ETF (XLB 38.98, -0.38) down 1.0%.

Though materials are lagging noticeably, today's selling has been broad-based for the most part. Riskier sectors are seeing comparable losses, while defensive-oriented utility and consumer staple stocks hover near their respective flat lines.

Interestingly, today's generally upbeat same store sales reports have failed to stir up buying interest in shares of retailers. The SPDR S&P Retail ETF (XRT 67.30, -0.48) is slipping 0.7%.

Though retailers are underperforming, the discretionary sector is seeing some areas of strength. Namely, Advance Auto Parts (AAP 76.99, +4.09) and O'Reilly Automotive (ORLY 100.84, +8.25) trade with respective gains of 5.6% and 8.9% following bottom line beats.

In other earnings news, Akamai Technology (AKAM 34.92, -6.66) is plunging 16.0% after the networking company missed on the top line, and guided its first quarter revenue below consensus.

The day's economic data did little to influence the trading sentiment. Initial claims were reported at 366,000, which puts the figure right inside of last year's 350,000-400,000 range. Meanwhile, the 2.0% drop in fourth quarter productivity was the result of a very small increase in output (0.1%) combined with a solid increase in hours worked (2.2%).

Lastly, unit labor costs increased 4.5% after declining 2.3% in the third quarter. That was the biggest increase in unit labor costs since increasing 6.4% in Q1 2012.DJ30 -89.93 NASDAQ -17.95 SP500 -8.31 NASDAQ Adv/Vol/Dec 752/1.05 bln/1644 NYSE Adv/Vol/Dec 983/309.4 mln/1962

12:30 pm : The S&P 500 is down 0.6% as equities continue to trade near their recent levels. The benchmark index has staged a couple attempts to lift off its lows, but the brief upticks have been met with selling back to session lows.

The materials sector is the weakest performer after the dollar index added 0.6% at the start of the session. The move occurred as the euro fell to its lows against the greenback in light of comments made by European Central Bank President Mario Draghi. During his press conference, Mr. Draghi expressed some concern over the recent strengthening of the euro.

The rise in the dollar index has negative implications for commodity prices. Due to this, stocks in the materials space are underperforming and the SPDR Materials Select Sector ETF (XLB 38.98, -0.38) is the weakest sector ETF proxy.DJ30 -106.40 NASDAQ -18.77 SP500 -9.35 NASDAQ Adv/Vol/Dec 735/951.8 mln/1657 NYSE Adv/Vol/Dec 946/282.3 mln/1983

12:00 pm : The major averages continue to meander near the bottom of the day's range with the S&P 500 down 0.8%. Though stocks saw little change at the open, sellers took control early and drove the key indices to their respective lows.

The morning sell-off was broad-based for the most part, suggesting some profit-taking is occurring. However, defensive-oriented staple and utility stocks have received some interest with the two sector registering little change as a result of the safety bid.

The morning selling coincided with notable strengthening of the dollar index. This came at the expense of the euro, which fell nearly 140 pips against the dollar after European Central Bank President Mario Draghi voiced concern about the strength of the common currency. At this time, the euro trades at 1.3383 versus the dollar.DJ30 -122.70 NASDAQ -25.60 SP500 -11.51 NASDAQ Adv/Vol/Dec 639/870.2 mln/1728 NYSE Adv/Vol/Dec 830/256.2 mln/2081

11:30 am : The major averages continue to trade near their worst levels of the day. The S&P 500 is slipping 0.8% after falling to a session low in the 1499 area. Today's intraday decline is the second largest so far in 2013. However, this comes after equity markets welcomed the New Year with a broad rally and the S&P 500 gained 6.0% since December 31.

Defensive-oriented utility and staple stocks are seeing little change as the sectors resist the broader market pressure. Meanwhile, consumer discretionary and material stocks are underperforming. In the discretionary sector, retailers are lagging despite reporting generally positive same store sales. The S&P Retail ETF (XRT 67.04, -0.74) is down 1.1%.

Elsewhere, the materials sector is seeing broad weakness and the SPDR Materials Select Sector ETF (XLB 38.99, -0.37) is sliding 0.9%.DJ30 -109.81 NASDAQ -27.16 SP500 -11.45 NASDAQ Adv/Vol/Dec 626/777.2 mln/1703 NYSE Adv/Vol/Dec 844/227.1 mln/2060

11:05 am : The major averages have continued their early weakness with the three indices sitting near their recently established lows. The S&P 500 is off by 0.7%.

Looking at the S&P 500 sectors, the ongoing softness is being spread across most areas. Defensive-oriented utility and staple stocks are bucking the trend as they outperform the broader market.

On the downside, the consumer staples sector is the weakest performer. Earlier, retailers reported their same store sales for January. Though 12 of 20 companies reported sales ahead of the Retail Metrics consensus, most of their stocks are succumbing to the broader market pressure. Zumiez (ZUMZ 22.69, +0.51) is the most notable exception as the retailer adds 2.5% after reporting a 2.6% rise in same store sales. The increase was well above the 3.1% decline expected by the consensus.

The SPDR S&P Retail ETF (XRT 67.12, +0.66) is down 1.0%.DJ30 -107.28 NASDAQ -27.07 SP500 -10.41 NASDAQ Adv/Vol/Dec 604/659.2 mln/1696 NYSE Adv/Vol/Dec 817/191.2 mln/2054

10:35 am : The dollar index has been showing some real strength this morning, driven by the sharp decline in the euro, which came on comments from Mario Draghi. This ultimately created selling pressure on the commodity complex this morning. However, precious metals has come back.

Crude oil has been weak all session and just extended losses to a new LoD below $96. In current trade, Feb crude oil is now -0.5% at $96.10/barrel. Feb natural gas slid to a new session low following today inventory data and is currently -0.1% at $3.36/MMBtu.

Gold and silver futures sold off sharply and after consolidating, both took off higher, rallying back to, or near, the unchanged line. In current action, Apr gold is now +0.1% at $1681.00/oz and Mar silver is currently -0.4% at $31.77/oz.DJ30 -114.35 NASDAQ -26.74 SP500 -10.30 NASDAQ Adv/Vol/Dec 622/498 mln/1643 NYSE Adv/Vol/Dec 840/150 mln/1973

10:00 am : Equities continue to trade near their lows and the S&P 500 is shedding 0.1%.

Currently, eight of ten S&P 500 sectors are trading in the red with materials, technology, and consumer staples as the weakest areas in early trade. Meanwhile, defensive-oriented utilities and consumer staples are outperforming.

In today's earnings, Advance Auto Parts (AAP 78.74, +5.84) and O'Reilly Automotive (ORLY 100.63, +8.04) are seeing respective gains of 7.7% and 8.8% after beating on the bottom line.DJ30 -44.15 NASDAQ -3.88 SP500 -1.63 NASDAQ Adv/Vol/Dec 850/278.9 mln/1275 NYSE Adv/Vol/Dec 1237/97.7 mln/1446

09:50 am : The major averages turned lower following the open, and the S&P 500 is off by 0.1%.

The day's economic data did little to influence the trading sentiment. Initial claims were reported at 366,000, which puts the figure right inside of last year's 350,000-400,000 range. Meanwhile, the 2.0% drop in fourth quarter productivity was the result of a very small increase in output (0.1%) combined with a solid increase in hours worked (2.2%). Lastly, unit labor costs increased 4.5% after declining 2.3% in the third quarter. That was the biggest increase in unit labor costs since increasing 6.4% in Q1 2012.

Among notable earnings-driven movers, Akamai Technology (AKAM 34.33, -7.25) is slumping 17.4% after the company's first quarter revenue guidance fell short of expectations.DJ30 -23.44 NASDAQ -0.36 SP500 -0.73 NASDAQ Adv/Vol/Dec 891/199.5 mln/1141 NYSE Adv/Vol/Dec 1356/78.6 mln/1285

09:20 am : [BRIEFING.COM] S&P futures vs fair value: +1.70. Nasdaq futures vs fair value: +6.50. Heading into the open, equity futures are pointing to a flat start. Recent trade has seen some volatility in the currency markets as the euro fell to session lows against the U.S. dollar. This followed comments from European Central Bank President Mario Draghi, who commented on the region's trade imbalances. His remarks were seen as caution against a strengthening euro, and caused the common currency's recent stumble.

In notable earnings, Sony (SNE 15.35, -0.47) is sliding 3.0% after reporting its third quarter revenue in-line with expectations.

Elsewhere, Visa (V 158.85, -1.97) is down 1.2% despite beating on earnings and revenue. Additionally, the company affirmed its full-year 2013 guidance.

09:04 am : [BRIEFING.COM] S&P futures vs fair value: flat. Nasdaq futures vs fair value: +4.30.

U.S. equity futures continue to trade modestly higher as the open nears.

The major Asian bourses ended mostly lower as traders booked profits ahead of next week's Golden Week holiday when markets across the region will be closed for various lengths. Japan's Nikkei (-0.9%) was the laggard despite the strong core machinery orders (0.8% month-over-month actual versus -0.7% expected). Elsewhere in the region, Australia saw a better than expected Australian jobs report as employment change climbed 10.4K (5.8K expected) while its unemployment rate held at 5.4% (5.5% expected). Also released was Taiwan's trade surplus which narrowed to $0.47 billion ($3.54 billion expected, $4.13 billion previous).

In Japan, the Nikkei shed 0.9% as trade slipped off a four-year high. Automaker Mazda jumped 12% after raising its full-year guidance while camera maker Nikon plunged 19% after cutting its guidance.
Hong Kong's Hang Seng slipped 0.3% as property names weighed. China Land Resources gave up 3.2% to finish among the worst performers in the space. Elsewhere, aluminum maker Chalco slid 2.8% after the announcement it would be replaced by Lenovo in the Hang Seng index.
In China, the Shanghai Composite lost 0.7% to snap its eight-day winning streak. Financials were mixed as Haitong Securities continued its recent out performance, climbing 4.2%. Meanwhile, Minsheng Bank tumbled 6.0% as traders booked profits following its recent run up.

European markets have slipped off their highs following policy meetings by the Bank of England and the European Central Bank. The ECB held its key interest rate unchanged at 0.75%, as expected. Meanwhile, the Bank of England also held its interest rate and purchasing program unchanged at their respective 0.50% and GBP375 billion, in-line with expectations.

Economic data released across the region was plentiful. British industrial production rose 1.1% month-over-month, better than the expected uptick of 0.9%. Meanwhile, the year-over-year reading slipped 1.7% also better than the 2.1% decline forecast by analysts. Also, manufacturing production increased 1.6% month-over-month, ahead of expectations. Lastly, the country's trade deficit narrowed to GBP8.9 billion, as expected. Swiss SECO Consumer Climate Index came in at -6, ahead of the expected -14. French trade deficit widened to EUR5.3 billion from the prior deficit of EUR4.3 billion. The general consensus had expected the deficit to narrow to EUR4.2 billion. Spanish industrial production declined 6.9% year-over-year, worse than the 6.6% slide expected by the market. Germany's industrial production ticked up 0.3% month-over-month, ahead of the expected rise of 0.2%. In news, British Chancellor of the Exchequer called for more monetary easing in order to stimulate economic growth. However, the incoming Bank of England Governor Mark Carney has struck a more hawkish tone in his recent remarks to the Parliament.

The United Kingdom's FTSE is off by 0.4%. Burberry is sliding 5.5%, and is the weakest performer after the company said its Chief Financial Officer Stacey Cartwright will depart and be replaced by John Smith, formerly of British Broadcasting Corporation.
France's CAC is adding 0.1% with defensive stocks in the lead. France Telecom is rising 2.1% and Veolia Environnement is higher by 2.4%. On the downside, Sanofi is sliding 2.8% after its guidance disappointed investors.
In Germany, the DAX is firmer by 0.6% with industrials and materials in the lead following a better than expected industrial production reading. HeidelbergCement and Lanxess are seeing respective gains of 4.9% and 4.2%.
Spain's IBEX is higher by 0.4%, but the index is nearing its session lows. Industrials and banks are trading higher with ACS and Bankinter up 2.2% and 1.2% respectively.
In Italy, the MIB is off its highs, but remains firmer by 0.5%. Saipem is adding 4.7% to rebound from recent weakness. Elsewhere, Banca Monte dei Paschi is rising 5.7% after the bank announced its 2012 derivative-related loss will be EUR730 million.

08:34 am : [BRIEFING.COM] S&P futures vs fair value: -0.90. Nasdaq futures vs fair value: -2.00. Equity futures ticked lower in reaction to the latest slate of economic data. The S&P 500 futures are currently flat.

The latest weekly initial jobless claims count totaled 366,000, which was higher than the 360,000 that had been expected by the Briefing.com consensus. The tally was above the revised prior week count of 371,000. As for continuing claims, they rose to 3.224 million from 3.216 million.

Lastly, fourth quarter unit labor costs increased by 4.5% which is higher than the 2.4% rise that had been widely anticipated. During the same period, productivity decreased by 2.0%, according to the preliminary reading. A decrease of 1.2% had been broadly forecast.

08:04 am : [BRIEFING.COM] S&P futures vs fair value: -0.30. Nasdaq futures vs fair value: -1.50.

U.S. equity futures are modestly higher amid upbeat European trade. The S&P 500 futures are adding 0.1% with the slightly positive pre-market tone following no policy changes made by the Bank of England or the European Central Bank.

Looking at overseas developments:

Asian markets ended lower. Japan's Nikkei lost 0.9%, China's Shanghai Composite slipped 0.7%, and Hong Kong's Hang Seng shed 0.3%.
In regional economic data:
New Zealand reported fourth quarter employment change of -1.0%, while expectations called for increase of 0.4%. However, the country's unemployment rate dropped to 6.9% from the previous reading of 7.3%. Today's reading was ahead of the 7.1% expected by the market.
Australia's employment change came in better-than-expected, rising 10.4K while an increase of 5.0K was expected. Meanwhile, the unemployment rate remained unchanged at 5.4%, ahead of the expected uptick to 5.5%.
Japan's core machinery orders rose 2.8% month-over-month, ahead of the 0.7% expected declined. Meanwhile, the country's Leading Index was reported at 93.4, short of the 93.8 expected by the general consensus.
Looking at news:
Asian markets declined ahead of Sunday's Chinese New Year. In addition, China will celebrate Golden Week next week.
Japan's Prime Minister Shinzo Abe reiterated his belief in the Bank of Japan's responsibility to reach the 2.0% inflation target.


European markets are trading in mixed fashion. The United Kingdom's FTSE is shedding 0.3% while France's CAC is higher by 0.3%, and Germany's DAX is up 0.5%.
Looking at notable economic data:
The European Central Bank concluded its policy meeting, and held its key interest rate unchanged at 0.75%, as expected.
The Bank of England held its interest rate and purchasing program unchanged at their respective 0.50% and GBP375 billion, in-line with expectations.
British industrial production rose 1.1% month-over-month, better than the expected uptick of 0.9%. Meanwhile, the year-over-year reading slipped 1.7% also better than the 2.1% decline forecast by analysts. Also, manufacturing production increased 1.6% month-over-month, ahead of expectations. Lastly, the country's trade deficit narrowed to GBP8.9 billion, as expected.
Swiss SECO Consumer Climate Index came in at -6, ahead of the expected -14.
French trade deficit widened to EUR5.3 billion from the prior deficit of EUR4.3 billion. The general consensus had expected the deficit to narrow to EUR4.2 billion.
Spanish industrial production declined 6.9% year-over-year, worse than the 6.6% slide expected by the market.
Germany's industrial production ticked up 0.3% month-over-month, ahead of the expected rise of 0.2%.
In news:
Italy's Monte dei Paschi announced the 2012 impact of its hidden derivative-related losses will be EUR730 million, ahead of the EUR720 million forecast late last year.
British Chancellor of the Exchequer called for more monetary easing in order to stimulate economic growth. However, the incoming Bank of England Governor Mark Carney has struck a more hawkish tone in his recent remarks to the Parliament.

In U.S. corporate news:

DeVry (DV 30.19, +4.07) is jumping 15.6% after the for-profit education company beat on earnings and revenue.
Akamai Technologies (AKAM 34.60, -6.98) is sliding 16.8% after reporting earnings. Though the company beat on the bottom line, its guidance fell short of analyst revenue expectations.
TriQuint Semiconductor (TQNT 4.91, -0.43) is shedding 8.1% after it too issued downside guidance. The company expects both its earnings and revenue to fall below the Capital IQ consensus forecast.

Weekly initial and continuing claims as well as preliminary fourth quarter productivity and unit labor costs will all be reported at 8:30 ET. Lastly, December consumer credit will be announced at 15:00 ET.

06:41 am : [BRIEFING.COM] S&P futures vs fair value: +1.50. Nasdaq futures vs fair value: +2.00.

06:41 am : Nikkei...11357.07...-106.70...-0.90%. Hang Seng...23177.00...-79.90...-0.30%.

06:41 am : FTSE...6294.14...-1.20...0.00. DAX...7607.19...+26.00...+0.30%.

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 @ http://stocktwits.com/wrbtrader

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