October 12th, 2012
in Gary's blogging
Opening Market Commentary For 10-12-2012
Market futures were up clinging to slight gains after U.S. wholesale inflation came in roughly inline with expectations and mixed earnings reports from JPMorgan Chase and Wells Fargo and gradually melted down towards the opening. The opening volume was light at the opening and remained steady for the first half hour.
At 10 am the averages were decidedly melting up but not at a rate were you could get excited. The SP500 has several gaps down around 1433.56 that will probably be closed before the session ends. This indicates a market that may desend before the day is over.
Not much can be added to the morning report as volume is falling off faster than usual and the HFT computers will take over soon.
The RRR** was very narrow at the opening bell. Any trades will probably end up on the unprofitable side as long as this market has low volume or remains flat. Swing trading is at your own risk and being the market is at a crossroads of sorts, I would prefer to sit on my hands rather than risk guessing incorrectly. Guessing where the market is going to be tomorrow or next week is a foolish endeavor at this point in time.
The DOW at 10:15 is at 13388 up 63 or 0.48%.
The 500 is at 1437 up 4.30 or 0.30%.
The $RUT is at 830.50 up 0.71 or 0.09%.
SPY is at 143.81 up 0.46 or 0.32%.
The longer trend is up, the past week's trend is neutral to bearish and the current bias is down.
WTI oil is neutral today and is at 92.28 trading between 92.60 and 91.65 and the bias is neutral.
Brent crude is mostly down today and is at 115.15 trading between 115.93 and 114.25 and the bias is positive.
Gold was up then back down this morning. Currently trading down at 1765.40, trading range is between 1772.58 and 1763.47 also with a neutral bias.
Dr. Copper is at 3.72 down from 3.75 earlier.
The US dollar fell from 79.90 earlier to 79.58 and is currently trading at 79.68.
** RRR = Risk Reward Ratio
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Written by Gary