Binary Options Analysis

[BinaryOptionStrategy]

Binary Options Report (Dec. 12- Dec. 16)

 

To read the Weekly fundamental analysis click here

 

Markets

 

Wall Street staggered along to the closing bell Friday. They ended up closing out a rough week with modest gains in technology and little movement in the Dow.

 

Traders had to contend with yet another ratings agency warning on debt, while the quadruple witching scenario, in which four key options and futures contract expire, brought more volume to the market but little in the way of gains.

 

The Dow closed done 2.42 at 11866.39, the NASDAQ was up 14.32 at 2555.33 and the S&P 500 rose 3.91 to close at 1219.66 forthe week.

 

DJIA CHART

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/a2.png

 

 

 

FOREX

 

Sharp Euro declines left it below the psychologically important $1.30 mark for the first time since January. This is leaving momentum sharply to the downside ahead of the final two weeks of 2011. Traders showed little hesitation in selling the EURUSD. We see relatively limited scope for continued volatility into the final weeks of the year, but anything can happen on headline driven price swings.

 

The final two weeks of the year are unlikely to see any major price breakouts, and indeed the EURUSD could very well consolidate until the New Year. The Forex Options market volatility expectations have fallen into Friday’s close with 1 week currency options now at the smallest currency ranges since the summer. Second tier economic data could perhaps force modest reactions on any surprises. It is not likely to be a week of sharp breakouts or pronounced currency trends.

 

EURUSD Chart

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/b2.png

 

 

 

COMMODITIES

 

Crude fell 34 cents to end at $93.53 in New York. The market fell as low as $92.52 earlier in the day.

 

Brent crude, which is used to price foreign oil that’s imported by many US refineries, fell 25 cents to finish at $103.35 a barrel in London.

 

Goldwas up $19.80 to $1,597 an ounce at the Comex division of the New York Mercantile Exchange. The yellow metal traded as high as $1,603.50 and as low as $1,572.10.

 

Gold Chart

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/c2.png

 

 

 

EQUTIES

 

Ista Pharamceuticals jumped on a takeover offer of about $6.50 a share from Valeant Pharmaceuticals, a bid that Ista said “significantly undervalues” the company.RSC Holdings surged after rival United Rentals made a $1.9 billion offer for the company. Cameron International said BP had agreed to indemnify the company for current and future compensatory claims associated with the Deepwater Horizon incident.

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Fundamental Analysis and the Week Ahead

 

To read the Weekly technical report click here

 

ECONOMIC NEWS

 

Credit rating agency Fitch told the Euro zone it thinks a comprehensive solution to the bloc’s debt crisis is beyond reach, as it put an number of the zone’s economies including France and Italy on watch for potential downgrades.

 

However, Fitch did reaffirm France’s top-notch triple-A rating but even here said the outlook was now negative over a longer term.

 

US consumer prices were flat in November as Americans paid less for cars and gasoline. This could be a further sign of a cooldown in inflation that could give the Federal Reserve more room to help a still weak economy. The Consumer Price Index was unchanged last month. Economists had expected an increase of 0.1 percent.

 

Prices rose 3.4 percent in the 12 months through November. That is off from the 3-year high of 3.9 percent clocked in September, and Friday’s report backs the view that the spike in inflation is ebbing. However, some of the data in the report could give pause to policymakers still worried about inflation. Outside food and energy, prices climbed 0.2 percent. These so called core prices rose 2.2 percent in the 12 months through November, up from 2.1 percent in October.

 

THE WEEK AHEAD

 

Dec 19: NAHB Housing Market Index

 

Dec 20: Housing Starts Nov, Building Permits

 

Dec 21: MBA Mortgage Index, Existing Home Sales, Crude Inventories

 

Dec 22: Initial Claims, Continuing Claims, GDP – Third Estimate. GDP Deflator – Third Estimate, Michigan Sentiment – Final, Leading Indicators, FHFA Housing Price Index

 

Dec 23: Durable Orders. Durable Goods Orders -ex Transportation, Personal Income, Personal Spending, PCE Prices – Core, New Home Sales

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Binary Options Daily Analysis – Global Equities Trade Mixed, Metals Advance

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets rose moderately thanks to Thursday’s upbeat US data. The Nikkei rose .3% to 8402, the Kospi jumped 1.2%, and the ASX 200 rose by .5%. China’s markets surged on hopes for central bank easing in the mainland. The Shanghai Composite rallied 2% to 2225, and the Hang Seng advanced 1.4%.

 

European markets closed lower, as concerns over possible debt downgrades intensified. The CAC40 slumped .9%, the DAC dropped .5%, and the FTSE lost .3%. Bucking the downtrend, miners rallied, lifted by a bounce in metal prices. Nokia shares declined more than 3% after Research in Motion’s weak earnings weighed on the mobile sector.

 

In the US, the major indexes closed mixed. The Nasdaq gained .6%, the S&P 500 rose .3%, while the Dow slipped fractionally. The Dow had opened sharply higher, but those gains evaporated by the afternoon.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-19-dow.png

Dow Ends Flat, Surrendering Early Gains

 

Adobe shares climbed 6.6% after reporting solid earnings, while Research in Motion tumbled 11.2% after weak profits and a dismal outlook.

 

Treasuries and Commodities

Bonds advanced, with 10-year notes climbing 18/32 to yield 1.85%, and 30-year notes gaining 1 12/32 to yield 2.85%.

 

Metals closed higher, led by copper which closed up 2% to 3.331. Gold gained 1.3% to 1597.60, and silver advanced 1.4% to 29.671.

 

Crude oil slipped .34 to 93.53, while gasoline ended flat at 2.487.

 

In agricultural futures, soybeans rallied 1.6%, and sugar rose 1.5%, while coffee lost 1.2%.

 

Currencies

The Dollar traded mostly lower on Friday, easing slightly after a strong week. The Euro and Pound both rose .2% to 1.3042 and 1.5546 respectively. The Australian Dollar and Swiss Franc rallied .4%. The Yen edged up .2% to 77.74, while the Canadian Dollar lagged behind, dropping .4% to 1.0384.

 

China’s yuan reached a record high of 6.3294, which was attributed to intervention by the central bank, in an effort to challenge short sellers.

 

Economic Outlook

Friday’s CPI data was mixed, as core CPI, which excludes food and energy, rose more than expected, while the broader CPI, remained flat. A drop off in inflation could potentially pave the way for additional easing from the Fed.

 

Monday’s only report will be the NAHB housing market index. Analysts are expected the index to rise from 20 to 21.

 

Earnings are due from Red Hat.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – US Stocks Drop on ECB Disappointment

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

News that North Korea’s leader, Kim Jong il, had died, weighed on Asian markets amid concern for the region’s stability. South Korean shares tumbled, with the Kospi closing down 3.4%, after dropping as much as 4.9%. The Nikkei lost 1.3% to 8296, the ASX 200 dropped 2.4%, and the Hang Seng shed 1.2%. China’s Shanghai Composite outperformed, easing a mere .3%, as it erased an earlier drop of 2.6%.

 

European markets traded mixed, following a speech by ECB president, Mario Draghi, in which he offered no new stability plans. The DAX fell .5%, and the FTSE lost .4%, while the CAC40 inched up fractionally.

 

US stocks opened higher, but closed significantly lower. The Dow fell 100 points to 11766, the Nasdaq dropped 1.3%, and the S&P 500 declined 1.2%.

 

Banking shares tumbled, as Bank of America lost 4.1% and Citigroup shed 4.7%.

 

AT&T abandoned its $39 billion plan to purchase T-Mobile, due to regulatory complications.

 

Treasuries and Commodities

US bond prices advanced, with 10-year notes climbing 13/32 to yield 1.80%. 30-year notes jumped 1 13/32 to yield 2.78%. In contrast, German bonds fell, with 10-year notes down .27 and 30-year notes down .465.

 

Crude oil and gasoline ticked up .2% to 93.68 and 2.491 respectively. Natural gas fell .6% to 3.109.

 

Silver tanked 3.2% to 28.71, while copper fell 1.2% to 3.292, and gold eased .4% to 1591.90.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-20-silver.png

Silver Sinks more than 3%

 

Agricultural futures rallied, as corn gained 3.1%, and wheat rose 2.7%.

 

Currencies

The Dollar traded modestly higher against world currencies, in a light session. The Euro dropped .4% to 1.2996, the Pound declined .3% to 1.5498, and the Yen fell .4% to 78.04. The Australian Dollar sank .8% to .9888.

 

Economic Outlook

The NAHB housing market index rose from 19 to 21 last month, in line with expectations, posted its 3rd straight gain. Additional housing data is due on Tuesday, when the government will release reports on housing starts and building permits.

 

Earnings are due from Carnival Cruises, Conagra, General Mills, and Oracle.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Western Markets Soar on Upbeat Data

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded mixed as the region calmed following Monday’s slide. Korean shares partially recovered from Monday’s slide, gaining .9%, and the Nikkei rose .5% to 8336, led by a 155 jump in Olympus shares. The ASX 200 slid .2%, the Shanghai Composite slipped .1%, while the Hang Seng edged up fractionally.

 

European markets surged, boosted by impressive US housing data, and a jump in German business sentiment. The DAX jumped 3.1%, the CAC40 rallied 2.7%, and the FTSE climbed by 1%. The automobile sector advanced by 5.1%, lifted by the bullish outlook. A Spanish short-term debt auction saw yields drop sharply from a month ago, a positive sign for the debt crisis.

 

The rally continued in the US, as the Dow advanced 337 points, the Nasdaq climbed 3.2%, and the S&P 500 gained 3%.

 

 

The S&P 500 Surges 3%

 

Jefferies shares rocketed 23% higher after reporting earnings which far exceeded analyst expectations.

 

Homebuilders rallied, as strong housing data lifted the sector. Beazer Homes soared 15%, and Lennar leaped 6% higher.

 

Treasuries and Commodities

Bonds tumbled as investors poured into riskier assets. 10-year notes fell 31/32 to yield 1.92%, and 30-year notes dropped 2 24//32 to yield 2.92%.

 

Commodities posted strong gains across all sectors. Crude oil advanced 3.87 to 97.56, gasoline rallied 3.8% to 2.584, and natural gas gained 1.4% to 3.14.

 

Silver led metal higher, rising 2.4% to 29.565. Gold gained 1.2% to 1616.50 and copper jumped 2.2% to 3.3815.

 

Currencies

The Australian Dollar soared 1.8% to 1.0075 as investors switched to “risk on”. The Pound climbed 1% to 1.5659, the Canadian Dollar gained .8% to 1.0300, and the Euro rose by .6% to 1.3078.

 

Economic Outlook

Housing starts and building permits both rose by 50K, far better than the 10K gain forecast by analysts, a strong sign that the housing market is on the rebound.

 

Wednesday’s reports will include existing home sales, weekly oil inventories, and weekly mortgage applications.

 

Earnings are due from Bed Bath & Beyond, Carmax, Micron Technology, and Walgreen’s.

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – ECB Offers 489 Billion Euro Liquidity Boost

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets advanced on Wednesday, buoyed by strong Tuesday’s outstanding US housing data. The Nikkei gained 1.5% to 8460, the Kospi jumped 3.1%, and the ASX 200 rallied 2.1%. Hong Kong’s Hang Seng climbed 1.9% to 18416, while China’s Shanghai Composite bucked the uptrend, sliding 1.1% to 2191.

 

European markets declined, as a morning spike faded. The DAX fell 1% to 5792, the CAC40 dropped .8% and the FTSE declined .6% to 5390. The ECB offered 489 billion euros in 3-year notes, in an effort to increase liquidity to struggling banks.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-22-dax.png

Germany's DAX Slides 1%, Erasing Morning Gains

 

US markets closed mixed as the Nasdaq dropped 1%, while the S&P 500 gained .2%, and the Dow inched up 4 points.

 

Oracle shares tumbled nearly 12% after announcing earnings that missed analyst estimates.

 

Research in Motion shares jumped 10.1% on hopes the company might be taken over.

 

After the bell, Bed Bath & Beyond shares slumped 3.8% on weaker than expected sales.

 

Treasuries and Commodities

Bonds fell for a second day, as the ECB’s liquidity measures lowered interest in US bonds. 10-year notes fell 14/32 to yield 1.97%, and 30-year notes dropped 1 18/32 to yield 3.00%.

 

Energy rallied, boosted by a sharp drop in oil inventories, which far exceeded expectations. Gasoline gained 1.7% to 2.6234, oil advanced 1.6% to 98.32, and natural gas rose by 1.2% to 3.165.

 

Metals traded mixed as copper gained .7% to 3.394, while precious metals fell. Gold eased .1% to 1615.40, and silver slipped .6% to 29.365.

 

Currencies

The major currencies swung widely in a volatile session, as the ECB’s efforts triggered a brief dollar selloff which quickly reversed. The Euro closed down .3% to 1.3048, after spiking as high as 1.3188 earlier in the day. The Australian Dollar rose by .2% to 1.0092, the Pound edged up .1% to 1.5676. and the Canadian Dollar settled up .3% to 1.0263.

 

Economic Outlook

Existing home sales rose by much less than forecast, climbing to 4.42M from 4.25M, as opposed to a forecast of 5.04 million.

 

Thursday’s economic data will include final GDP data for the 3rd quarter, leading indicators, the OFHEO home price index, and consumer sentiment data from the University of Michigan.

 

Earnings are due from American Greetings and Neogen.

 

 

 

 

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Weekly Jobless Claims Drop to 3.5 Year Low

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded lower, as the ECB’s liquidity efforts failed to inspire confidence amongst investors. The Nikkei dropped .8% to 8395, and the Kospi edged down fractionally. Australia’s ASX 200 slumped 1.2% as retailers continue to slash their outlook for the first quarter, due to weak Christmas sales. In greater China, the Hang Seng and Shanghai Composite both declined .2%, but were well-off their earlier lows.

 

In contrast, European markets rallied, led by banks, which gained 2%. The CAC40 climbed 1.4%, the FTSE gained 1.3%, and the DAX advanced 1.1%.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-23-cac40.png

France's CAC40 gains1.4% as European Banks Rally

 

US markets closed higher as well, boosted by upbeat economic data. The Dow gained 62 points to 12170, while the Nasdaq and S&P 500 both rose .8%.

 

Micron Technology shares jumped 15.7%, as upbeat sales data outweighed concerns over lower than expected profits. Meanwhile, Bed Bath & Beyond shares slid 6.3% after issuing a weak outlook.

 

Treasuries and Commodities

US bonds rose modestly, as 10-year notes rose 4/32 to yield 1.95%, and 30-year notes edged up 10/32 to yield 2.99%.

 

Energy extended its gains, as crude oil rose .9% to 99.51, gasoline advanced.7% to 2.637, and natural gas closed up .5% to 3.171.

 

For a second day, precious metals fell, while copper closed .8% higher. Silver lost .4% to 29.13, and gold shed .5% to 1606.30.

 

Currencies

The Pound, Euro, and Swiss Franc all ended little changed from their Wednesday settlement prices, closing near the center of their intraday price range. The Canadian Dollar climbed .6% to 1.0208, and the Australian Dollar gained .4% to 1.0130, as traders moved back into “risk on” mode. The Yen eased .2% to 78.17.

 

Economic Outlook

3rd quarter GDP was revised downward to 1.8% from 2.0%, showing the economy is growing slowly, but steadily. Weekly jobless claims fell to 364K, 12K better than expected, hitting their best level since 2008. Consumer confidence moved up to 69.9 from 67.7, better than forecast.

 

Friday’s reports will include new home sales, durable goods orders, and personal income & spending. No major earnings reports are scheduled.

 

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Report (Dec. 19- Dec. 23)

 

To read the Weekly fundamental analysis click here

 

Markets

 

Wall Street closed higher Friday as the S&P 500 rallied for a fourth straight day and turned positive for the year after a run of better than expected economic data.

 

The S&P 500 has gained nearly 5 percent over the last four days and is slightly higher for the year. Investors cited recent improvement in US economic data and seasonal factors behind the move, but many remained cautious about the 2012 outlook.

 

The Dow Jones was up 124.35 to close at 12294.00 and the S&P500 was up 11.33 to close at 1265.33. While the NASDAQ was up 19.19 to close at 2618.64

 

DJIA CHART

 

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/a3.png

 

 

 

 

FOREX

 

Let us take a look at the USDJPY as a drive higher has been called for over the last year. However, the pair has forged little progress to make that a reality. My analysis approach is to combine rudimentary technicals and capital flow based fundamentals. Both of these types of analysis lead to the same bullish conclusion for the foreseeable future.

 

The first consideration is the pair incredible proximity to its record low. Extending historical extremes is exceptionally difficult. So, we need a catalyst for reversal. Short term, we have the threat of manipulation from the BoJ and Ministry of Finance to offer economic relief. Medium term, we have the possibility of a deepening financial condidtions in the US and europe that makes us more selective of safe havens (the Buck is undisputed for relative liquidity, credit market stability). Finally, long term, the return of higher global rates supports the Fed moving while the BoJ continues a 20 year, near ZIRP policy .

 

USDJPY Chart

 

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/b3.png

 

 

COMMODITIES

 

Oil prices rose above $100 a barrel Friday as worries over global security issues outweighed weak economic data in the US.

 

Crude ended the day at $99.68, up 15 cents. It rose as high as $100.23 during the session. Brent crude finished 7 cents higher at $107.96 in London.

 

Oil Chart

 

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/c3.png

 

 

 

 

EQUTIES

 

SunPower shares rose after the solar panels maker said it would buy rival Tenesol, a unit of France’s Total. At the same time, Total is buying 18.6 million SunPower shares, raising its stake to about 66 percent. Rambus shares traded higher after the company signed a cross licensing agreement with Broadcom ending patent litigation between the two.

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Fundamental Analysis and the Week Ahead

 

To read the Weekly technical report click here

 

ECONOMIC NEWS

 

The US Congress approved a two month extension of a payroll tax cut for 160 million workers that would have expired on December 31. The resolution, if only temporary, removes a market headwind that investors said could have hit growth next year.

 

New US single family home sales rose to a seven month high in November and the supply of houses on the market was the lowest in 5-1/2 years. The data added to signs of a budding recovery in the sector.

 

Earlier, consumer spending and personal income rose by a modest 0.1 percent in November, which was below market expectations, while the headline 3.8 percent increase in durable goods orders last month masked a decline in a crucial investment measure.

 

THE WEEK AHEAD

 

Dec 27 Case-Shiller 20-city Index

 

Dec 27 Consumer Confidence

 

Dec 28 MBA Mortgage Index

 

Dec 29 Continuing Claims, Chicago PMI, Pending Home Sales, Crude Inventories

 

Dec 30 Chicago PMI

 

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Binary Options Daily Analysis – Upbeat US Data Continues to Push Stocks Higher

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

A drop in US unemployment claims helped push Asian markets higher on Friday. The Kospi climbed 1.1%, and the ASX 200 added 1.2%, led by materials stocks. The Shanghai Composite rose .9%, and Hong Kong’s Hang Seng advanced 1.4%, gaining 1.9% for the week. The Nikkei was closed for a holiday.

 

The equity rally continued in Europe, as the FTSE and CAC40 rallied 1%, while the DAX gained .5%. Oil and gas stocks were the largest gainers, as crude oil continued its recent advance.

 

Similar gains were achieved in the US. The Dow climbed 124 points, the S&P 500 gained .9%, and the Nasdaq rose .7%. Congress passed a 2 month extension on a payroll tax cut, which affects 160 million workers.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-26-dow.png

Dow Rallies 124 Points

 

Rambus shares jumped 12% after signing a licensing agreement with Broadcom.

 

Treasuries and Commodities

US bonds fell as equities gained. 10-year notes dropped 22/32 to yield 2.02%, and 30-year notes sank 1 16/32 to yield 3.06%.

 

Gasoline futures surged 1.8% to 2.6872, and crude oil inched up .15 to 99.68, while natural gas slumped 1.7% to 3.114.

 

Copper rallied 1.6%, boosted by the recent flow of upbeat housing data. Silver edged up .1% to 29.084, while gold slipped .3% to 1606.

 

Currencies

The major pairs traded in narrow ranges as the market prepared for the extended holiday weekend.. The Euro closed down fractionally at 1.3048, while the Swiss Franc, Australian Dollar, and Yen all edged up .1%. The British Pound was a notable mover, dropping .6% to 1.5588.

 

Economic Outlook

Yet another report suggested that the US housing market is finally beginning to recover, as new home sales edged up to 315K, better than last month’s 310K, and slightly above expectations.

 

Durable goods orders jumped 3.8%, blowing past forecasts of 2.2%, although core durable goods orders, which is more reliable, rose a mere .3%, below analyst expectations.

 

European and US markets will be closed on Monday for Christmas.

 

 

Binary Options Trading analysis written by Bradley Welcher

[ForexMike]

Why not post on one thread instead of starting new ones?

[BinaryOptionStrategy]

Binary Options Daily Analysis – Upbeat US Data Continues to Push Stocks Higher

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

A drop in US unemployment claims helped push Asian markets higher on Friday. The Kospi climbed 1.1%, and the ASX 200 added 1.2%, led by materials stocks. The Shanghai Composite rose .9%, and Hong Kong’s Hang Seng advanced 1.4%, gaining 1.9% for the week. The Nikkei was closed for a holiday.

 

The equity rally continued in Europe, as the FTSE and CAC40 rallied 1%, while the DAX gained .5%. Oil and gas stocks were the largest gainers, as crude oil continued its recent advance.

 

Similar gains were achieved in the US. The Dow climbed 124 points, the S&P 500 gained .9%, and the Nasdaq rose .7%. Congress passed a 2 month extension on a payroll tax cut, which affects 160 million workers.

 

 

Dow Rallies 124 Points

 

Rambus shares jumped 12% after signing a licensing agreement with Broadcom.

 

Treasuries and Commodities

US bonds fell as equities gained. 10-year notes dropped 22/32 to yield 2.02%, and 30-year notes sank 1 16/32 to yield 3.06%.

 

Gasoline futures surged 1.8% to 2.6872, and crude oil inched up .15 to 99.68, while natural gas slumped 1.7% to 3.114.

 

Copper rallied 1.6%, boosted by the recent flow of upbeat housing data. Silver edged up .1% to 29.084, while gold slipped .3% to 1606.

 

Currencies

The major pairs traded in narrow ranges as the market prepared for the extended holiday weekend.. The Euro closed down fractionally at 1.3048, while the Swiss Franc, Australian Dollar, and Yen all edged up .1%. The British Pound was a notable mover, dropping .6% to 1.5588.

 

Economic Outlook

Yet another report suggested that the US housing market is finally beginning to recover, as new home sales edged up to 315K, better than last month’s 310K, and slightly above expectations.

 

Durable goods orders jumped 3.8%, blowing past forecasts of 2.2%, although core durable goods orders, which is more reliable, rose a mere .3%, below analyst expectations.

 

European and US markets will be closed on Monday for Christmas.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Crude Jumps Past $100, Equities Trade Narrowly

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded lower in thin trading, following Monday’s holiday closure of American and European markets. The Nikkei declined .5% to 8441, and the Kospi dropped .8% to 1842. China’s Shanghai Composite sank 1.1% to 2166 on extremely light volume. Markets in Australia and Hong Kong remained closed.

 

In Europe, the DAX edged up .2%, and the CAC40 closed up fractionally in light trading. Markets in the UK were closed for an extended weekend. Italy’s MIB index dropped 1% as regional banks fell following a weak bond auction.

 

Thin trading continued in the US, and is likely to last through the rest of the year. The Dow and S&P 500 closed little changed, while the Nasdaq rose .3% to 2625.

 

Sears Holdings tumbled 27% to 33.38 after announcing it would close more than 100 Sears and Kmart stores to cut costs.

 

Treasuries and Commodities

Bonds rose moderately, with 10-year notes up 6/32 to yield 2.00%, and 30-yeat notes up 18/32 to yield 3.03%.

 

Crude oil jumped 1.7% to 101.38, settling back above the highly watched $100 mark. Natural gas inched up .1% to 3.117, while gasoline closed down .2% at 2.6812.

 

 

Oil Rallies 1.7% to Settle Above $100

 

Metals fell, led by copper’s 1.6% drop to 3.4125. Silver slumped 1.5% to 28.65, and gold lost $11 to 1595.

 

Agricultural futures soared, with wheat climbing 3.9% and soybeans gaining 3.2%.

 

Currencies

Currency markets traded in very narrow ranges as the world remained on vacation. The Dollar settled mostly lower, as the Euro edged up .1% to 1.3068, and the Pound gained .3% to 1.5668. The Yen and the Swiss Franc both rose .2% to 77.87 and 1.0707 respectively. The Australian Dollar and the Canadian Dollar slipped fractionally.

 

Economic Outlook

Tuesday’s economic data was mixed. The Case-Shiller home price index showed house prices continued to drop, with the annual rate reaching 3.4%, slightly more than expected. The Richmond manufacturing index rose to 3 from last month’s zero reading, but fell shy of forecasts. Consumer Confidence jumped to 64.5 from last month’s 55.2 reading, blowing past analyst expectations.

 

No major economic data or earning reports are due on Wednesday.

 

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Dollar and Bonds Surge, Commodities Tumble

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets extended their declines on Wednesday in very thin trading. Korea’s Kospi skidded .9% to 1825, the Nikkei edged down .2%, and the ASX 200 dropped 1.3%. The Hang Seng closed down .6% to 18519, while the Shanghai Composite managed a slight .2% gain.

 

European markets fell, pressured by an ECB report showing banks were increasingly depositing cash with the central bank, rather than lend to each other. The DAX tumbled 2%, the CAC40 slid 1%, and Italy’s MIB declined .7%. The FTSE closed flat, as gains in retailers offset losses from other sectors. An auction of 6-month Italian bonds was a major success, with yields dropping to 3.25%, compared to 6.5% just one month ago.

 

US stocks dropped sharply, with the Nasdaq and S&P 500 both dropping 1.3%, and the Dow losing 140 points to 12151.

 

A sales report by Comscore showed that retail sales for the holidays rose to $35 billion, up 15% from last year.

 

Treasuries and Commodities

Investors poured into US treasuries, pushing 10-year notes up 24/32 to yield 1.92%. 30-year notes surged 2 8/32, to yield 2.92%.

 

Metals dropped sharply, led by silver’s massive 5.9% drop to 27.06. Gold tumbled 2.5% to 1556.40, and copper declined 1.6% to 3.3545.

 

Crude oil erased yesterday’s gains, falling 1.8% to 99.53. Gasoline lost 1.5% to 2.649, and natural gas slipped .6% to 3.13.

 

Currencies

The Dollar surged, while European currencies plunged. The Euro dropped 1% to 1.2935, hitting a 1-year low, the Pound fell 1.4% to 1.5448, and the Swiss Franc sank .9% to 1.0607. The Australian Dollar declined .6% to 1.0090, and the Canadian Dollar slid .5% to 1.0244. The Yen slipped fractionally to 77.92.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-29-gbp-stumbles.png

 

Economic Outlook

Thursday’s economic calendar will include weekly unemployment claims, Chicago PMI, pending home sales, and weekly oil inventories.

 

No major earnings reports are due.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Stocks Rally as Housing Mark

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

 

Asian markets traded mostly lower in anxious anticipation of an Italian auction for 10-year notes, later in the day. The Nikkei eased .3% to 8399, the ASX 200 closed down .4%. Korea’s Kospi ended flat, despite a disappointing factory output report. The Hang Seng slid .7% to 18398, while China’s Shanghai Composite managed a slight gain of .2%.

 

Meanwhile, European markets rallied, lifted by upbeat US economic data. The CAC40 jumped 1.8%, the DAX advanced 1.3%, and the FTSE rose 1.1%. Italy succeeded in selling 7 billion Euros of 10-year notes at 6.98%, an improvement from November’s 7.56% rate, but still incredibly high.

 

US stocks rose, with the Dow climbing 136 points to 12287. The S&P 500 gained 1.1%, and the Nasdaq closed up .9%.

 

Homebuilders surged following a jump in pending home sales data. Beazer jumped 7%, and Pulte climbed 6.1%.

 

Treasuries and Commodities

Bond prices rose for a second day. 10-year notes edged up 5/32 to yield 1.90%, and 30-year notes gained 13/32 to yield 2.9%.

 

Natural gas tumbled 3% to 3.028, while crude oil rose .3% to 99.65, despite a jump in oil inventories.

 

Gold sank 1.1% to 1547.60, extending its recent losses. Silver however, rallied 1.8% to 27.71, bouncing after Wednesday’s tumble. Copper settle up .4% at 3.38.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2011/12/dec-30-gold.png

Gold Prices Continue to Drop

 

Currencies

The Dollar traded moderately lower against most currencies. The Euro recovered from a morning drop down to 1.2860, to settle at 1.2963, up .2%. The Canadian Dollar and Swiss Franc rose .3%, and the Yen gained .4% to 77.64. The British Pound declined .2% to 1.5416, but was well off its intraday low of 1.5364.

 

Economic Outlook

Pending home sales surged 7.3% in the last month, blowing past analyst expectations for a 1.7% gain. Chicago PMI was reported at 62.5, better than expected. Less impressively, weekly jobless claims were worse than the 372K forecast, rising to 381K from last week’s 366K.

 

No major economic reports or earnings releases are scheduled for Friday.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Report (Dec. 26- Dec. 30)

 

To read the Weekly fundamental analysis click here

 

Markets

 

Markets closed lower in the final trading day of a volatile year. The Dow finished higher for the year, while the S&P erased gains to close out the year basically flat.

 

The Dow Jones Industrial Average finished lower for the session, but finished in the black for 2011 as it saw its its biggest quarterly point gain in history. The S&P 500 and the Nasdaq also ended the session lower. The S&P erased its earlier gains for the year in the final minutes of trading, leaving the index basically unchanged for the year.

 

 

 

DJIA CHART

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/a.png

 

 

 

FOREX

 

The US Dollar Index is 0.80 percent lower from the open after moving 132 percent of its average true range, but we should see the Dollar regain its footing over the following week as it remains oversold. As the recovery in the States gathers pace, the economic docket for the week ahead is expected to reinforce an improved outlook for future growth, and the developments may support the greenback as the rise in private sector activity limits the Fed’s scope to conduct another large scale asset purchase program.

 

The economic docket for the following week is expected to show Non-Farm Payrolls increasing another 150K in December. However, the FOMC policy meeting minutes due out on Tuesday could prop up the Dollar should the central bank continue to soften its dovish tone for monetary policy. As the Fed carries its wait and see approach into 2012, we should see the central bank stick to ‘Operation Twist’, and the committee may look to conclude its easing in the following year as the economic recovery gradually gathers pace. However, as the sovereign debt crisis continues to drag on the world financial system, Fed Chairman Bernanke may keep the door open to expand the monetary policy further, and the central bank head may look to further expand the balance sheet in order to shield the world’s largest economy.The dollar should appreciate further in 2012 as the fundamental outlook for the US improves.

 

US Dollar Index

 

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/b.png

 

 

 

 

COMMODITIES

 

Crude futures closed lower Friday as traders eyed developments in Europe and Iran and their potential risks to global oil demand, but prices ended the year more than 8% higher after a strong Q4.

 

Crude for February delivery lost 82 cents, 0.8%, to close at $98.83 on the New York Mercantile Exchange. The exchange held a full session of trading Friday, but will be closed for the new year holiday on Monday.

 

For the year, crude futures gained 8.2% after climbing 25% for the quarter. Crude was trading below $80 at the end of September and closed out 2010 at $91.38 .

 

Gold climbed $25.90 to settle at $1,565.80 an ounce at the Comex division of the New York Mercantile Exchange. This move clinched an eleventh straight year of gains. The gold price traded as high as $1,582.80 and as low as $1546.20 an ounce.

 

Oil Chart

 

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/c.png

 

 

 

 

 

 

EQUTIES

 

McDonald’s was the top gainer for 2011, surging more than 30 percent, while Bank of America posted the biggest loss, plunging almost 55 percent. Sears identified 79 of the 100 to 120 Sears and Kmart stores it said earlier this week it would close, with the list split almost evenly between the two chains. Standard & Poor’s placed Sears’ credit rating on review for a possible downgrade, saying the retailer’s plan to close at least 100 stores may not do much to improve performance.

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Fundamental Analysis and the Week Ahead

 

To read the Weekly technical report click here

 

ECONOMIC NEWS

 

This was a quiet non event week as most government offices were closed for the Holidays.

 

THE WEEK AHEAD

 

MONDAY: New Year’s Day observed—All markets closed

 

TUESDAY: ISM mfg index, construction spending, FOMC minutes

 

WEDNESDAY: Weekly mortgage applications, Challenger job-cut report, factory orders, auto sales

 

THURSDAY: ADP employment report, jobless claims, ISM non-mfg index, oil inventories, chain-store sales

 

FRIDAY: Non-farm payrolls

 

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Binary Options Daily Analysis – Global Stocks Trade Mixed on Final Day of the Year

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets closed mixed on the last trading day of the year, but were sharply lower than their 2010 settling prices. The Nikkei gained .7% to 8455, closing the year down 17%. Australia’s ASX 200 slipped .4%, declining 14.5% in 2011. In China, the Shanghai Composite jumped 1.2%, but dropped 22% for the year. The Hang Seng edged up .2%, a minor change to the index’s 20% drop in 2011.

 

In Europe, the major indexes enjoyed moderate gains. The CAC40 climbed 1%, the DAX advanced .9%, and the FTSE edged up .1%. For the year, the indexes fell 18%, 15%, and 6% respectively. Regional banks were the biggest losers, shedding almost 40% over the past year.

 

US stocks closed lower in light trading. The Dow fell 69 points to 12218, trimming its 2011 gain to 5.5%. The Nasdaq eased .3%, slipping 1.8% for the year, and the S&P 500 closed down .4%, ending flat for 2011.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/jan-2-sp500.png

After a Wild Ride, S&P 500 Ends 2011 Exactly Where it Began

 

American Airlines parent, AMR, tumbled 32% on news the company would be delisted from the New York Stock Exchange, after filing for bankruptcy last month.

 

Treasuries and Commodities

110 and 30-year notes both rose a modest 6/32, putting the yield at 1.88% and 2.89% respectively.

 

Energy traded lower, led by natural gas, which fell 1.3% to 2.989. Crude oil dropped .8% to 98.93, while gasoline slipped .5% to 2.6574.

 

In contrast, metals rallied significantly. Silver jumped 2.2% to 27.915, gold advanced 1.7% to 1568.80 and copper climbed 2% to 3.436.

 

Currencies

The Yen surged .9% to 76.91, and the Pound rallied .8% to 1.5543, as the Dollar traded lower. The Australian Dollar gained .7% to 1.0209, and the Swiss Franc edged up .2% to 1.0660. The Euro closed flat at 1.2961.

 

Economic Outlook

Tuesday’s major reports will include the ISM manufacturing index, constructions spending, and the minutes from the last FOMC meeting. No major earnings reports are scheduled.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Stocks Surge on Opening Day of 2012

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

The year opened strongly for Asian markets, as investors were encouraged by upbeat Chinese PMI data. The Kospi surged 2.7% to 1875, and the ASX 200 climbed 1.1%, with materials stocks leading the gains. Hong Kong’s Hang Seng jumped 2.4% to 18877, as petroleum stocks rallied more than 4%. Markets in Japan and China were closed for holidays.

 

European markets gained as well, boosted in the afternoon by strong US data. The FTSE advanced 2.3%, the DAX rallied 1.5%, and the CAC40 rose .7%.

 

US stocks posted strong gains as well. The Dow jumped 180 points to 12397, the Nasdaq rallied 1.7%, and the S&P 500 climbed 1.6%.

 

Micron Technology garnered an upgrade from Barclays, sending the shares up 7.4%. JPMorgan upgraded Cisco to overweight, giving the shared 3.4% pop.

 

Treasuries and Commodities

Bond prices fell, as a renewed appetite for risk pressured fixed income. 10-year notes dropped 20/32 to yield 1.95%, and 30-year notes sank 1 20/32 to yield 2.97%.

 

Commodities rallied nearly universally, lifted by the strong manufacturing data. Crude oil surged 4.3% to 103.08 as a rise in tensions with Iran sent prices sharply higher. Gasoline jumped 3.6% to 2.7519, and natural gas edged up .1% to 2.992.

 

 

Silver posted an impressive 6% gain to 29.575, leading metals higher. Copper gained 2.6% to 3.526, and gold rose 2.5% to 1605.50.

 

Agricultural futures also posted strong gains. Sugar advanced 5.2%, and cotton settled up 4.4%.

 

Currencies

Investor optimism pressured the US Dollar, which fell across the board against major currencies. The largest gainer was the Australian Dollar, which traded up 1.3% to 1.0371. The Euro and Pound gained .9% to 1.3050 and 1.5648 respectively, while the Canadian Dollar and Swiss Franc rallied .8%. The Yen had a smaller .3% gain to 76.65.

 

Economic Outlook

In the US, the ISM manufacturing index rose to 53.9 from 52.7, slightly more than expected. Constructions spending rebounded after last month’s .2% decline, climbing 1.2%.

 

In the UK, Manufacturing PMI rose substantially, climbing to 49.6 from 47.7.

 

Wednesday’s reports will include monthly auto sales, factory orders, and weekly mortgage applications.

 

Earnings are due from chemical maker Mosaic, and Sonic Corp.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Upbeat Economic Data Helps US Markets Erase Losses

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded mixed on Wednesday, following Tuesday’s advance. For the gainers, the Nikkei rallied 1.2% to 8560, and the ASX 200 surged 2.1%, as mining giant BHP Billiton soared 4.1%. On the losing side, the Kospi declined .5%, the Shanghai Composite sank 1.4%, and the Hang Seng slid .8%

 

European banks tumbled 3.6%, weighing on the region’s indexes. The CAC40 slumped 1.6%, the DAX fell .9%, and the FTSE declined .6%. News that Italy’s largest bank, UniCredit, will need to raise 8 billion euros to meet capital requirements, pressured financials.

 

US markets traded lower at the open, but erased their losses as the day progressed. The Dow rose 21 points to 12418, while the S&P 500 and Nasdaq ended flat.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/jan-5-dow.png

Dow Erases Morning Losses to Close Higher

 

Yahoo shares dropped 3.1% after naming Scott Thompson as its new CEO. Kodak shares tumbled 28% on news the company is headed for bankruptcy.

 

Treasuries and Commodities

Treasuries extended their declines. 10-year notes fell 12/32 to yield 1.99%, and 30-year notes dropped 1 6/32 to yield 3.04%.

 

Energy rallied, led by natural gas, which jumped 3.7% to 3.104. Gasoline gained 1.4% to 2.7823, and crude oil edged up .3% to 103.23.

 

Metals traded mixed. Copper fell 2.8% to 3.4315 and silver lost 1.6% to 29.09, while gold rose .8% to 1612.90.

 

Currencies

The Euro fell .9% to 1.2942, the Swiss Franc dropped 1% to 1.0620, and the Pound eased .2% to 1.5618, as debt fears hit European currencies. The Yen and Australian Dollar settled flat, while the Canadian Dollar ticked down .1% to 1.0124.

 

Economic Outlook

Vehicle sales remained at an annualized rate of 13.6 million, slightly above expectations, and factory orders increased by 1.8% after last month’s .2% decline.

 

Thursday’s heavy economic calendar will include the ADP employment report, the Challenger job-cut report, weekly jobless claims, ISM non-manufacturing data, and chain-store sales.

 

Earnings are scheduled for Apollo Group, Family Dollar, Monsanto, and Constellation Brands.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Commodities Fall Despite Strong US Data

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded mostly lower on Thursday, as concerns over Europe’s debt troubles resurfaced. The Nikkei dropped 71 points to 8489, the ASX 200 skidded 1.1%, and the Shanghai Composite fell 1% to 2149. Oil stocks helped offset losses in financials, with the Kospi easing a mere .1%, and the Hang Seng gaining .5%.

 

In Europe, stocks dropped once again, weighed down by banks. The CAC40 fell 1.5%, the FTSE lost .8%, and the DAX shed .3%. Italy’s MIB index tumbled 3.7%, as Italy’s leading bank, UniCredit, continued to drop.

 

US markets once again recovered from early losses. The Dow closed down 3 points, erasing a 130 point drop, while the Nasdaq climbed .8% and the S&P 500 rose .3%.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/jan-6-dow.png

Dow Closes Flat, Bouncing Back from Morning Loss

 

Denndreon shares surged 39.8% after reporting a huge jump in revenues.

 

Zumiez rocketed up 17.6% after reporting impressive sales data. Macy’s climbed 3.9%, while Target fell 3% after missing sales forecasts.

 

Treasuries and Commodities

Bonds retreated for a 3rd day, despite the mounting European debt fears. 10-year notes edged down 4/32 to yield 1.99%, and 30-year notes fell 18/32 to yield 3.06%.

 

Natural gas dropped 3.9% to 2.975, as energy traded lower. Crude oil fell 1.43 to 101.79, and gasoline lost 1.6% to 2.7399.

 

Metals settled mixed, as copper fell .4% to 3.4205, while gold gained .8% to 1625.50, and silver rose .6% to 29.275.

 

Agriculturals fell sharply, with sugar losing 5.3%, wheat dropping 3.2%, and corn sinking 2.3%.

 

Currencies

The US Dollar rallied across the board, while the Euro fell to a 15-month low of 1.2771, down 1.2%. The Swiss Franc lost 1.1% to 1.0493, and the Pound dropped .8% to 1.5487. In the Pacific, the Australian Dollar declined 1% to 1.0252, and the Yen shed .6% to 77.22.

 

Economic Outlook

ADP payroll data showed a massive jump of 325K jobs last month, blowing past estimates for a 176K gain, and boding well for Friday’s official non-farm payroll report. Weekly jobless claims fell to 372K from last week’s 387K, slightly better than forecast.

 

Analysts expect the government to report a gain of 152K jobs over the last month in Friday’s payroll report. The unemployment rate is expected to rise to 8.7%.

 

Earnings are due from PriceSmart, Robins & Myers, and Commercial Metals.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Report (Jan. 2- Jan. 6)

 

To read the Weekly fundamental analysis click here

 

Markets

 

We saw a mixed day for the US markets on Friday. Still all major averages hada strong week. Markets were mixed even though we had a stong NFP report. Euro zone debt worries strongly overshadow the markets at this time. The Dow Jones lost 55.78 points, to close at 12,359.92. The S&P 500 lost 3.25 points,to close at 1,277.81. The NASDAQ rose 4.36 points, to close at 2674.22.

 

 

 

DJIA CHART

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/a1.png

 

 

 

 

 

 

FOREX

 

The US Dollar surged against the Euro and other market peers. The rise was helped by a erosion in the Eurozone and good US economic data. NFP report added a surprising 200k jobs through the month of December. this move sent unemplyment rate to new lows and installing confidence in investors. It would appear that the momentum favours the USD but we should be aware of event risks that could make for a volatile US Dollar trading week, in short the EURUSD could be in for some volatility.

 

We have an empty US economic calendar which means investors will look at developments from euroope this week. Still, traders should not ignore any new comments made from the fromthe US Fed. Nor should they discount the late-week Advance Retail Sales data.

 

 

 

US Dollar Index

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/b1.png

 

 

 

COMMODITIES

 

Crude lost 53 cents to close at $101.31 . Brent crude, lost 24 cents to finish at $112.50 . Gold rose $1.80 to settle at $1,621.90 an ounce.

 

Oil Chart

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/c1.png

 

 

 

EQUTIES

 

Goldman Sachs was downgraded by Wells Fargo to market perform from outperform. Citigroup’s which has been trying to to sell its OneMain consumer lending unit to private equity buyers ended with no deal. Alcoa fell after the aluminum producer said it will cut its global smelting capacity by 12 percent. Best Buy lost 1.2 percent of same store sales, but shares still rose after its outlook was reaffirmed.

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Fundamental Analysis and the Week Ahead

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

ECONOMIC NEWS

 

US Non-farm payrolls came in at an unexpected high of 200,000 in December. This ended up lowering the jobless rate to a near three-year low of 8.5 percent. Economists expected a gain of 150,000.

 

THE WEEK AHEAD

 

MONDAY: Atlanta Fed Pres Dennis Lockhart speaks, consumer credit, Sarkozy/Merkel meet

 

TUESDAY: NFIB small biz optimism index, wholesale trade, San Francisco Fed Pres John Williams speaks, Kansas City Fed Pres Esther George speaks, 3-yr note auction, New Hampshire Primary

 

WEDNESDAY: Weekly mortgage apps, Atlanta Fed Pres Dennis Lockhart speaks, oil inventories, Philadelphia Fed Pres Charles Plosser speaks, 10-yr note auction, Beige Book, Monti/Merkel meet

 

THURSDAY: BoE announcement, ECB announcement, jobless claims, retail sales, business inventories, 30-yr bond auction

 

FRIDAY: International trade, import & export prices, consumer sentiment, Richmond Fed Pres Jeffrey Lacker speaks

 

Binary Options Trading analysis written by David Frank

[BinaryOptionStrategy]

Binary Options Daily Analysis – US Payroll Data Blows Past Expectations

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets closed lower on Friday ahead of the US’s key non-farm payroll report. The Nikkei slid 1.2% to 8390, with Elpida Memory tumbling 5.4% after Deutsche Bank downgraded the memory maker. The Kospi declined 1.1%, the ASX 200 sank .8%, and the Hang Seng slumped 1.2% to 18593. Bucking the trend, the Shanghai Composite climbed .7%, as banking shares gained.

 

In Europe, stocks closed mixed despite strong US jobs data. The FTSE rose .5%, while the DAX fell .6%, and the CAC40 slipped .2%.

 

US markets had a similar close, with the Nasdaq edging up .2%, while the Dow fell 56 points to 12360, and the S&P 500 declined .3%. The VIX fell 4% to 20.63, a sign that investors are growing increasingly calm.

 

http://www.binaryoptionstrategy.com/wp-content/uploads/2012/01/jan-9-vix.png

VIX Continues to Fall

 

Netflix shares surged 8.6%, extending its weekly gain to 23%, amid rumors of a takeover.

 

Best Buy shares gained 3.3%, despite reporting a 1.2% drop in same-store sales, thanks to a string outlook.

 

Treasuries and Commodities

Bonds rose moderately. 10-year notes gained 10/32 toy yield 1.96%, and 30-year notes climbed 28/32 to yield 3.02%.

 

Crude oil eased .3% to 101.56, while natural gas soared 2.8% to 3.062.

 

Metals traded mostly lower, although copper rose .3%. Silver sank 2.1% to 28.683, and gold edged down .2% to 1616.80.

 

Currencies

The Dollar gained against world currencies, as euro-zone fears continue. The Euro and Pound both fell .5% to 1.2724 and 1.5424 respectively, and the Swiss Franc eased .3% to 1.0467. The Canadian Dollar sank .9% to 1.0286, and the Australian Dollar slipped .3% to 1.0228. The Yen managed a slight gain, rising .2% to 76.97.

 

Economic Outlook

The US economy added 200K jobs last month, far beyond the 152K estimated, and the unemployment rate fell to 8.5% from 8.7%. Despite the upbeat data, some analysts remained skeptical over the economic recovery, attributing the gain to seasonal factors.

 

Monday’s sole report is consumer credit, which is expected to rise by $7.2 billion.

 

Alcoa will report earnings on Monday, unofficially kicking off earnings season.

 

Binary Options Trading analysis written by Bradley Welcher

[BinaryOptionStrategy]

Binary Options Daily Analysis – Global Equities Mixed, Consumer Credit Surges

 

To read the Weekly technical report click here

To read the Weekly fundamental analysis click here

 

Equities

Asian markets traded mixed on Monday following last week’s losses. China’s Shanghai Composite spiked 2.9%, boosted by a rise in the money supply and loan growth, and the Hang Seng rallied 1.5% to 18866. The Kospi dropped .9%, and the ASX 200 eased .1%. Japanese markets were closed for a holiday.

 

 

European markets traded lower, led by banks which fell 2.2%. The FTSE and DAX dropped .7%, and the CAC40 fell .3%. Over the weekend, Hungary’s debt rating was downgraded to junk, and Der Spiegel reported that the IMF doubts that Greece can get its finances under control.

 

In the US, stocks closed modestly higher. The Dow edged up .3%, the S&P 500 rose .2%, and the Nasdaq eked out a .1% gain.

 

Alcoa shares rallied 2.9% ahead of earnings. After the close, the aluminum maker reported a loss in line with estimates, while beating forecasts on revenue.

 

Netflix shares surged another 14% after launching its DVD service in the UK.

 

Treasuries and Commodities

Treasuries closed little changed, with 10-year notes yielding 1.95%, and 30-year notes yielding 3.02%. On Tuesday, the Treasury will auction $32 billion in 3-year notes.

 

A German auction for 6-month debt had a negative yield of -0.0122%.

 

Energy traded mixed. Natural gas slumped 1.6% to 3.013, crude oil slipped .2% to 101.34, and gasoline gained .2% to 2.7568.

 

Silver climbed .9% to 28.935, while gold and copper dropped .5% to 1609.60 and 3.419, respectively.

 

The Euro rose .4% to 1.2776, recovering from an earlier drop down to 1.2680. The Pound gained .3%, and the Swiss Franc advanced .6% to 1.0535. The Yen rose .2% to 76.84.

 

Economic Outlook

Consumer credit saw a massive expansion in November, climbing to $20.4 billion. Analysts had expected a gain of just $7 billion.

 

Tuesday’s reports will include wholesale inventories, and the NFIB small business optimism index.

 

Binary Options Trading analysis written by Bradley Welcher