July 11, 2014 - Issue #744

In This Issue

1.  Cannon Trading Releases New Futures Trading Platform, Shogun Trade Executor™:
2. July - August Market Outlook
3. Economic Calendar

1.  Cannon Trading Releases New Futures Trading Platform, Shogun Trade Executor™

Important notice: For those of you trading any stock index futures contracts, i.e., the E-mini S&P, E-mini

Cannon Trading launches Shogun Trade Executor™, a futures platform that provides a cutting edge experience for futures traders and combines 25 years of experience into a simple trading platform. Set apart by its access to unfiltered data and statistical analysis, Shogun Trade Executor™ is the perfect program for traders who want to improve their game.

Beverly Hills, California (PRWEB) July 08, 2014

http://www.prweb.com/releases/cannon-trading/shogun-trade-executor/prweb11998947.htm

Cannon Trading Co, Inc., an Independent Introducing Brokerage firm, is releasing its latest futures trading software, Shogun Trade Executer,™ a trading platform tailored to provide the most cutting edge user experience for futures traders.

The new software allows traders to benefit from the company’s 25 years of experience and compiles a user-interface that is both intuitive and highly functional. What separates Shogun Trade Executor™ from the other platforms lies in a few different levels of trading mechanics.

“Besides single click orders, Shogun Trade Executor™ offers tools to help the trader regulate himself and observe his statistics. With an implemented daily loss limit, a trader can now stay disciplined and set daily loss limits to protect profits and/ or limit losses for any given day, directly from the platform,” says Mike Levy, President, Cannon Trading.

“At the end of the day, users can study themselves as traders and observe their own individual trading statistics. Shogun Trade Executor™ provides free charting with over 100 technical indicators, trading algorithms, and unfiltered historical data,” he adds.

These are just some of the features that separate Shogun Trade Executor™ from other platforms. For more information and to actually try it out, traders can start with no cost Demo version.

As the industry has changed, Cannon has always been mindful of the evolving environment and has always kept customer interests in mind. The brokers at Cannon Trading look forward to finding out whether the futures trading landscape is something that will work for customers.

Cannon Trading has consistently tried to be a place where the traders and brokers work together as a team to assist clients in any way possible.

The result is a unique and progressive infrastructure that enables them to meet the varied needs of our clients with tailored services and execution.

Cannon Trading Company has won a Customer Service Finalist of 2003 Readers Choice Award, and the brokers have been quoted in SFO, Futures Magazine and Bloomberg. The Company is a proud member of the NFA and CFTC since 1988.

Visit the website and take advantage of many of the offers and educational tools.

Good Trading

2.   July - August Market Outlook

TTN July-August 2014 Outlook: All in One Rhythm from our friends at: www.TradeTheNews.com 

With headline fatigue setting in over the Ukraine crisis, and the mounting Iraqi upheaval stirring concerns about an all-out sectarian war in the Middle East, the world is seeking a temporary diversion from the World Cup. The quadrennial event provides an apt metaphor for the next few months in the markets - many countries have high hopes for a strong showing, things may get a bit contentious as national interests collide, and there will be a few upsets, but in the end we can only watch and wait for the scores to come in. To copy the 2014 World Cup slogan, economic leaders seem to be "all in one rhythm", pausing for more data before making their next moves. Let's get to the matchups.

US vs Expectations 

The initial three months of 2014 were decidedly disappointing for the US economy, as the final tally on Q1 GDP came in at -2.9%, even worse than expected, due to horrendous winter weather. Markets largely ignored those temporary factors as did the Fed, which has continued to steadily taper its QE program on the expectation and recent materialization of better jobs and growth data. 

After the decidedly slow start to the year, monthly non-farm payrolls in the first five months are now averaging over 200 thousand new jobs, enough to keep unemployment on a downward trajectory. The next reading comes on July 3, an unusual Thursday release of the jobs data because of the Independence Day holiday. Forecasts are for another payroll report in line with the average, though more breakout numbers like the nearly 300 thousand jobs gained in April are not out of the question and could help ease the Fed transition into its next policy phase.

Chair Yellen and other senior Fed officials have already begun to lay the groundwork for next year when they are likely to move rates away from near-zero. To get people accustomed to the idea, Yellen has started the discussion of future rate hikes, though stressing that rate policy will be entirely data dependent. At her last press conference she also brushed off some recent higher CPI data as "noise", insisting that inflation is developing within Fed expectations. This seems to indicate the Chair is pleased with market reckoning of the first rate hike coming around mid-2015, but this outlook could be toppled by more hot inflation data (due out toward the middle of each month).

With stronger inflation in view, Fed hawks are positing the scenario that the recovery will kick into high gear and unemployment will fall to normal levels sooner rather than later. Philadelphia Fed chief Plosser recently expressed discomfort with rates still near zero while inflation is rebounding toward the 2% target. The more moderate St. Louis Fed President Bullard has worried out loud that the Fed may get behind the curve if joblessness falls faster than expected, and set his personal forecast for the first rate hike in early 2015 (though still data dependent). Meanwhile the Richmond Fed's Lacker has proposed the Fed should starting trimming back reinvestment of balance sheet holdings before looking at raising rates, so discussion of that may come into vogue as the policy agenda for normalization gels. Representing the dovish team, San Francisco Fed President Williams has suggested that the most recent data is consistent with the first rate hike coming in the latter half of next year.

On the US policy scoreboard, so far it is QE 3, and fiscal policy nil. The grand fiscal bargain that was often speculated about in the last few years now seems impossible. Congress and the Administration are so at odds that the President has resorted to small scale policy tweaks through executive orders on things like the minimum wage for federal contractors and immigration policy. The unprecedented primary loss of House Republican majority leader Cantor to a poorly funded Tea Party newcomer who ran to Cantor's right portends more intense gridlock in Congress. Another two dozen state primaries will be conducted over the next two months, and if the GOP fringe experiences a resurgence headed into the November mid-term elections, Tea Party purists in the next Congress may choose to ignore the political lessons of 2013 government shutdown. 

Europe vs Deflation

As in the US, the next two months are expected to be a wait and see period for Europe. The biggest monetary policy move of recent months was the ECB's new package of negative rates and targeted LTROs to spur economic growth and more lending. The IMF and other observers applauded the move but immediately urged the ECB to follow up with a full on quantitative easing scheme. The ECB has acknowledged that is an option in its playbook, but central bank President Draghi has made it clear that he wants to wait some time to gauge the impact of the just launched program before unloading another monetary volley.

3. Economic Calendar

Source: Moore Research Center, Inc.

* Please note that the information contained in this letter is intended for clients, prospective clients, and audiences who have a basic understanding, familiarity, and interest in the futures markets.

** The material contained in this letter is of opinion only and does not guarantee any profits. These are risky markets and only risk capital should be used. Past performances are not necessarily indicative of future results.

*** This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts herein contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgment in trading!