U.S. Equity Rally Stalls after J.P. Morgan Reports Good Earnings
equity futures markets moved higher in pre-market trading after a lackluster
overnight trade, bolstered by news that earnings from J.P. Morgan exceeded
analyst estimates. The company reported a net profit per share of $1.09,
compared with the analystsâ€™ consensus forecast of 67 cents.
The company said that the gain was attributed to â€śsolid
performanceâ€ť in most of its business units and lower credit costs. Stock
futures gained ground on the news but upside movement may have been limited by
comments from CEO Jamie Dimon who said â€śAlthough we are gratified to see
consumer-lending net charge-offs and delinquencies decline, they remain at
extremely high levels and therefore returns in our consumer-lending businesses
are still unacceptable.â€ť
This morningâ€™s rally in the equity markets and the lack of
selling interest overnight is a strong sign that investors are still mainly
concerned about earnings rather than the economy. Late Wednesday, the Fed
reported that the pace of the economic recovery was slowing, forecasting
smaller than expected growth in the GDP and a sluggish jobs outlook. In
addition, the majority of policymakers on the Federal Open Market Committee
agreed that it may take up to 5 or 6 years before the economy reaches the Fedâ€™s
goal of maximum employment and low inflation.
The inflation outlook by the Fed suggests that the central
bank has the evidence to keep interest rates lower for a prolonged period of
time. With interest rates expected to remain low and corporate earnings beating
estimates, investor optimism is high, leading to strong buying interest in
The stronger Euro and British Pound is also contributing to
this morningâ€™s firmer tone, but the decline in higher risk currencies is
helping to limit equity markets gains. Based on this scenario, equity market
gains may be limited today as traders try to decide whether to satisfy their
appetite for risk or shift to a more risk averse sentiment.
With equity futures posting gains for seven consecutive
sessions, technical factors may also be signaling that the market is nearing a
short-term top and setting up for a near-term correction. Some oscillators are
indicating that conditions have reached overbought status, but pattern watchers
are waiting for a closing price reversal top to signal the start of a possible
2 to 3 day correction.
Technically, all three major futures indices are poised to
test major 50% levels today. Based on the main range of 1211.25 to 1002.75, the
September E-mini S&P 500 could run into selling pressure at 1107.00. The
September E-mini NASDAQ has an upside target at 1875.75. The September E-mini
Dow is already testing its 50% retracement level at 10323. Traders should watch
the reaction when these levels are tested to see if selling pressure is
detected. Intraday charts should offer the first clue as to whether the indices
are getting ready to top. The best signal to watch for is a closing price
reversal top on either the 60 minute or 15 minute charts.
Wednesdayâ€™s strong reversal to the upside in the September
Treasury Bonds was in reaction to the dovish outlook for the economy by the
Fed. Overnight this market followed through to the upside, but quickly fell
back to unchanged following the rally in the equity markets. At some point
today, stocks and T-Bonds are going to move opposite each other. If stocks
rally further, then expect a setback in the T-Bonds. If stocks falter and begin
to sell off, then assume this is a sign that investors are shifting their focus
to the economy, thereby renewing interest in the long side of the fixed income
Forex Trading News
Daily Forex Market News Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Forex News Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."
Elevate Your Trading With The Amazing Trader!
The Amazing Trader includes:
Actionable trading levels delivered to YOUR charts in real-time.
Mon 18 Dec
10:00 EZ- final HICP Tue 19 Dec
09:00 DE- IFO Survey
13:30 US- Housing Starts/Permits
13:30 US- Current Account Wed 20 Dec
15:00 US- Existing Homes Sales
15:30 US- EIA Crude Thu 21 Dec
03:00 JP- BOJ Decision
13:30 CA- CPI & Retail Sales
13:30 US Weely Jobless
13:30 US- GDP Fri 22 Dec
09:30 US- GB- GDP
13:30 US- core PCE Deflator & Presonal Income
15:00 US- New Homes Sales
15:00 US- final University of Michigan
17:00 US- early Closes Mon 25 Dec
00:00 Christmas Holidays
Potential Trading Opportunities
POTENTIAL PRICE RISK: Medium Mon--10:00 GMT-- EZ- final November HICP. flash data are rarely changed.
POTENTIAL PRICE RISK: HIGH- Medium Tue --09:00 GMT-- DE- IFO Survey. Key report but usually not a market-mover
POTENTIAL PRICE RISK: HIGH- Medium- Tue --13:30 GMT-- US- Housing Starts and Permits. Leading indicators of activity
POTENTIAL PRICE RISK: HIGH-Medium- Wed --15:00-- US- Existing Homes Sales. Top Housing statistic
looking for your first broker or do you need of a new one? There are
more critical things to consider than you might have thought.
We were trading long before there were online brokers. Global-View
has been directly involved with the industry since its infancy. We've
seen everything and are up-to-data with recent regulatory changes.
The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.
The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.
Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.
The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.
Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.
Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.
Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.
WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES
CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN
EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE
PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE
INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC
REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL
SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR
SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.