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Market Alert: Non-Farm Payrolls Tomorrow and Key Contract Deadlines for the Month

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NFP tomorrow at 7:30 AM Central time! Non Farm Payrolls is a market moving event that takes place the first Friday of every month. Be aware and understand this report can impact market behavior. 

Below are the contracts entering First Notice or Last Trading Day for the upcoming month. Be advised that for contracts that are deliverable, it is requested that all LONG positions be exited two days prior to First Notice and ALL positions be exited the day prior to Last Trading Day. If you have any questions, please contact your broker.

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Daily Levels for October 4, 2024

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Economic Reports

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All times are Eastern Time ( New York)

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* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

E-Mini S&P 500 Futures

Posted on by Ilan

E-Mini S&P 500 Futures—a smaller-sized derivative contract based on the Standard & Poor’s 500 Index (also known as standard & poor’s 500 index futures, sp500 index futures, futures sp, standard and poor’s 500 future, futures sp500)—have revolutionized the world of futures trading since their inception. This guide will explore the origins, evolution, and technological advancements surrounding the E-Mini S&P 500 contract. Furthermore, we will examine how cutting-edge tools such as artificial intelligence (AI) are shaping the future of futures trading and why Cannon Trading Company is an excellent choice for those seeking to trade these contracts.

The Origins of E-Mini S&P 500 Futures

A New Era for Futures Contracts

In 1997, the Chicago Mercantile Exchange (CME) introduced the E-Mini S&P 500 Futures (ES) contract to make futures trading more accessible to a broader range of market participants. At the time, traditional S&P 500 futures contracts were large and carried high margins, making them primarily a tool for institutional investors. The introduction of the E-Mini contract significantly reduced the notional value of the contract to a fraction of its full-sized counterpart, allowing both institutional and retail traders to participate.

Key Features of E-Mini Contracts

The E-Mini contract quickly gained popularity due to several core features:

  • Reduced Contract Size: Unlike the full-size sp500 index futures, which had a contract value of 250 times the index, the E-Mini was just 50 times the index. This lower notional value made the contract more manageable for smaller traders.
  • Lower Margin Requirements: With a smaller contract size came lower margin requirements, reducing the capital needed to trade sp500 index futures. This opened the doors for retail traders who had previously been unable to participate in the larger contracts.
  • High Liquidity: From its early days, the E-Mini contract quickly gained liquidity. The S&P 500 is a widely followed index, representing 500 of the largest U.S. companies. Traders were eager to trade a smaller version of the index, which meant deep liquidity and narrow bid-ask spreads.

The Role of Technology in the Growth of E-Mini Futures

As E-Mini futures gained traction, the rise of electronic trading played a crucial role in their growth. The E-Mini futures sp were among the first contracts to be traded electronically, using the CME’s Globex trading platform. Electronic trading provided several advantages over traditional pit trading:

  • 24-Hour Market Access: Traders could access the market nearly 24 hours a day, allowing them to trade futures during global events or after-hours stock market movements.
  • Increased Transparency: Electronic trading brought more transparency to the market, with real-time quotes and market data available to all participants.
  • Faster Execution: The shift from manual order processing in the trading pits to electronic execution reduced the time it took to execute trades, minimizing the risk of slippage and improving trade outcomes for participants.

Evolution of E-Mini Futures with the Internet and AI

The Internet Revolution in Futures Trading

The explosion of internet-based trading platforms in the late 1990s and early 2000s democratized access to the E-Mini standard and poor’s 500 future market. No longer did traders have to be physically present at the exchange or rely on floor brokers to execute their trades. Online brokers emerged, offering individuals and institutions alike a way to trade these contracts from anywhere in the world with just an internet connection.

Some key impacts of the internet on E-Mini futures trading include:

  • Accessibility: Traders of all experience levels gained access to professional-grade trading platforms. Previously, only institutions could afford the technology and resources to access global markets. With online platforms, retail traders could access S&P 500 futures contracts at competitive fees and trade on the same exchanges as institutional players.
  • Market Data and Research: Access to real-time data, news, and technical analysis became available to anyone with an internet connection. The once-secretive tools of institutional traders were now available for retail traders to make informed decisions.
  • Automated Trading: The internet allowed the development of automated trading systems and algorithms. Traders could now automate their strategies, reducing the manual effort required to manage positions in fast-moving markets like S&P 500 futures.

The Role of Artificial Intelligence in Modern Futures Trading

With the rise of artificial intelligence (AI) and machine learning, the futures trading landscape has continued to evolve, and E-Mini standard and poor’s 500 future are no exception. AI’s influence on futures trading has manifested in several ways:

  1. Predictive Analytics

    • AI systems can analyze vast datasets, such as historical price movements, market sentiment, news, and economic indicators, to identify potential patterns in the market. Predictive models help traders gain a better understanding of future market directions and adjust their strategies accordingly.
    • In the context of E-Mini S&P 500 futures, AI algorithms can recognize patterns in stock price correlations, economic data releases, and even global macro events, providing traders with insights on how these factors may impact the broader U.S. equity market.

  2. Automated Strategy Execution

    • AI-powered trading bots and algorithms can manage trades based on pre-set rules and strategies, eliminating human error and emotion from the equation. These bots can identify buy or sell opportunities based on specific criteria such as price levels, volatility, or market sentiment.
    • In fast-moving markets like E-Mini futures, where price changes can happen in milliseconds, AI-based execution ensures that traders do not miss out on opportunities due to latency or slow decision-making.

  3. Sentiment Analysis

    • AI tools have advanced to the point where they can analyze news articles, social media posts, and other forms of digital content to gauge market sentiment. Sentiment analysis allows traders to incorporate this data into their decision-making process.
    • By monitoring social media trends, financial news, and public opinion, AI systems can predict how market sentiment might impact S&P 500 futures. This data-driven approach is especially useful for large-scale investors and hedge funds that need a macro-level view of the market.

  4. Risk Management and Optimization

    • AI’s ability to process and analyze vast quantities of data allows for more precise risk management strategies. Algorithms can assess the risk of open positions in real-time and automatically make adjustments to protect against adverse market movements.

Predictions on How Technology Will Expedite Trade Execution

Looking forward, we can expect further advancements in how technology shapes the execution of E-Mini S&P 500 futures trades. These include:

  • Latency Reduction: As technology improves, trade execution speeds will continue to decrease, reducing the time between placing an order and having it executed on the exchange. Quantum computing may play a role in this as algorithms and data processing speeds are pushed to their limits.
  • AI-Driven Decision Making: Traders will increasingly rely on AI and machine learning algorithms to scan market data, news, and sentiment in real-time, helping them to make more informed decisions at a faster pace.
  • Blockchain and Smart Contracts: The integration of blockchain technology into futures markets could automate the clearing and settlement process, further reducing friction in trade execution. Smart contracts could also ensure that trades are settled instantly without relying on traditional clearinghouses.
  • Cloud-Based Infrastructure: With more trading platforms leveraging cloud computing, traders will have greater access to scalable computing resources, enabling more sophisticated strategies and faster order execution.

Why Cannon Trading Company Is a Wise Choice for Trading E-Mini S&P 500 Futures

Choosing the right broker is crucial for successful futures trading, and Cannon Trading Company stands out as a premier option for trading futures sp500 and related contracts such as E-Mini S&P 500 Futures. Here’s why:

1. Experience and Reputation

Cannon Trading Company has been a reliable name in the futures trading industry for over three decades. With a track record of serving institutional, retail, and professional traders, Cannon has built a strong reputation for delivering excellent service and tailored trading solutions.

2. Advanced Trading Platforms

Cannon Trading provides access to a wide array of top-tier trading platforms, including the CME’s Globex for trading E-Mini futures sp500. The platforms offered include features such as:

  • Advanced Charting Tools: Traders can perform detailed technical analysis using a suite of charting tools to make informed decisions.
  • Automated Trading Capabilities: For those interested in algorithmic trading, Cannon offers platforms that support strategy automation, back-testing, and real-time execution.
  • Customizable User Interface: Tailor the platform to fit your trading style, whether you are day trading or managing longer-term strategies in E-Mini contracts.

3. Competitive Margins and Fees

One of the most important aspects of trading futures is margin requirements. Cannon Trading offers competitive margins for E-Mini S&P 500 futures, allowing traders to enter the market with less capital while still benefiting from significant leverage. Additionally, Cannon provides transparent and competitive commission structures, ensuring that traders don’t face excessive costs when trading high-frequency strategies.

4. Educational Resources

Cannon Trading prides itself on supporting traders with educational resources that enhance their knowledge of the futures market. Whether you are new to trading or an experienced futures trader, Cannon offers webinars, blogs, and market analysis to keep you informed about current market trends and trading strategies.

5. Customer Support

Cannon Trading is renowned for its personalized customer service. Their team of experienced brokers and support staff are available to assist clients with trading questions, platform support, and market insights. This level of service is invaluable, especially for those trading in fast-moving markets like the S&P 500 futures.

6. Regulatory Compliance

As a fully regulated futures brokerage, Cannon Trading adheres to the highest standards of compliance and transparency. This ensures that traders can trust the firm with their capital, knowing that they are operating within a regulated and secure environment.

7. Technology Integration

Cannon Trading has embraced the advancements in trading technology, including algorithmic trading, high-frequency trading, and AI-driven systems. By providing access to platforms that integrate these technologies, Cannon allows traders to stay ahead in an increasingly competitive market.

E-Mini S&P 500 Futures have revolutionized the futures market since their inception in 1997, making the S&P 500 index more accessible to a broader range of traders. The rise of internet-based trading platforms and AI-driven tools has further democratized access, offering retail traders and institutions alike the ability to trade these highly liquid contracts in a fast and efficient manner.

As technology continues to evolve, the future of E-Mini trading will likely see improvements in trade execution speeds, AI-driven market analysis, and the adoption of blockchain technology to streamline clearing and settlement processes. For traders looking to enter this exciting market, Cannon Trading Company provides an ideal platform, offering a combination of advanced technology, personalized support, and competitive pricing.

With Cannon Trading’s resources and expertise, traders of all levels can effectively navigate the ever-evolving world of Standard & Poor’s 500 index futures, taking full advantage of the opportunities offered by E-Mini S&P 500 futures contracts. Whether you are hedging your portfolio, speculating on short-term price movements, or automating your trading strategies, Cannon Trading Company stands out as a wise and reliable choice for your futures trading needs.

For more information, click here.

Ready to start trading futures? Call us at 1(800)454-9572 – Int’l (310)859-9572 (International), or email info@cannontrading.com to speak with one of our experienced, Series-3 licensed futures brokers and begin your futures trading journey with Cannon Trading Company today.

Disclaimer: Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involve substantial risk of loss and are not suitable for all investors. Past performance is not indicative of future results. Carefully consider if trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.

Important: Trading commodity futures and options involves a substantial risk of loss. The recommendations contained in this article are opinions only and do not guarantee any profits. This article is for educational purposes. Past performances are not necessarily indicative of future results.

This article has been generated with the help of AI Technology and modified for accuracy and compliance.

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Market Watch: Key Commodities Impacted by Geopolitical Tensions, Longshoremen Strike, and China’s Stimulus

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Bullet Points, Highlights, Announcements

By Mark O’Brien, Senior Broker General:    Keep an eye out for commodity futures broadly, for bullish moves.  Geopolitical tensions and the Iranian missile strike on Israel are dominating the commodity news so far this week.  The most visible reaction was seen in crude oil prices, which pushed higher as fears of supply disruptions escalated. In other news causing unease to a range of commodities futures, the first strike by the International Longshoremen’s Association since 1977 is potentially closing ports from Houston to Boston and once again threatening supply chains. Another key development adding some fundamental bullishness to commodities: China’s largest stimulus package since the pandemic, with the promise of more to come.  Last week, China unleashed a package of monetary and fiscal easing measures, launching China’s benchmark CSI 300 Index 27% from its September lows into fresh bull market territory.  These aggressive actions are already reverberating through global commodity markets.  Iron ore futures have surged over 20% in China. Metals:  After closing above $2,700 per ounce for the first time – an all-time high – last Thursday, December gold eased to $2,677 per ounce at the time of writing.  Overall, gold’s near 7-month price increase reflects traders’ bullishness amid the current geopolitical tensions and the prospect of more interest rate cuts in the U.S. Energies:  Despite the recent reaction by crude oil related to the aforementioned geopolitical tensions, in a monthly Reuters poll released Monday, 41 analysts and economists cut their 2024 oil price forecasts for a fifth consecutive month.  Weaker demand and uncertainty over OPEC’s plans were cited.  In April, driven by Middle East tensions and OPEC+ supply cuts, oil prices surged past $90 a barrel.   Since then, declining demand trends have led to an supply overhang and crude oil has reversed course, dipping below $70 per barrel this month. Important heads up:   it’s that time of the month again: we’re a couple of days from when the Labor Dept. releases its monthly Non-farm payrolls report.  It’s widely considered to be one of the most important and influential measures of the U.S. economy and the report is released at 7:30 A.M., Central Time on the first Friday of the month. To review, the Labor Dept.’s Bureau of Labor Statistics surveys about 141,000 businesses and government agencies, representing approximately 486,000 individual work sites.  The report excludes farm workers, private household employees, domestic household workers and non-profit organization employees.  The report also includes other detailed industry data including the overall unemployment rate as a percentage of the total labor force that is unemployed but actively seeking work, wages, wage growth and average workday hours.   Side note:  Power is only one of the worries for the survivors of Hurricane Helene – in so many of the Appalachian towns and other hard-hit areas.  Those in the hurricane’s wake are struggling to access clean water, safe shelter, clear roads, gasoline and food, among other necessities.  With that said, as of Wednesday morning, more than 1.2 million outages remain across the region.   Here are some of the latest figures on the number of reported outages:  
  • Florida 42,321
  • Virginia 44,850
  • North Carolina 347,118
  • Georgia 363,340
  • South Carolina: 491,105
 
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Daily Levels for October 3, 2024

9680bb1c 039c 476b 9288 2036ace661ac   Economic Reports provided by: ForexFactory.com All times are Eastern Time ( New York)
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* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

Market Volatility Rises Amid Longshoreman Strike and Middle East Tensions

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  Movers and Shakers By John Thorpe, Senior Broker Long Shoreman Strike / Israel Struck Activity today was volatile both for Equities and outside markets. The Beast awoke at 9 a.m. eastern on queue, when equity futures prices sank, simultaneously rallying Crude oil and Metals futures, Gold and Silver leading the charge. As the threats turned into reality of both Strikes occurring, 200 shells lobbed from Iran were, in large part intercepted with minimal damage and loss of life. The unsettling potential effects to the supply chain and the conflicts in middle east potentially leading to an Iranian attempt at a Straights of Hormuz Blockage sending Crude oil Up over $3.00/bbl before settling down to just 2 bucks higher.. as the markets expanded early to mid day, cooler heads seemed to prevail, the markets contracted as they absorbed the headlines..     Movers and shakers! Today’s News: Updated: October 1, 2024 7:37 am “The Administration is taking action to monitor and address potential impacts on consumers due to labor disputes at East Coast and Gulf Coast ports. Our analysis shows we should not expect significant changes to food prices or availability in the near term. Thanks to the typically smooth movement through the ports of goods, and our strong domestic agricultural production, we do not expect shortages anytime in the near future for most items. Likewise, non-containerized bulk export shipments, including grains, would be unaffected by this strike. For meat and poultry items that are exported through East and Gulf Coast ports, available storage space and re-direction of products to alternative domestic and international markets can alleviate some of the pressure on farmers and food processors. We are keeping an eye on downstream impacts in the west, and we will continue to monitor and work with industry to respond to potential impacts. Our Administration supports collective bargaining as the best way for workers and employers to come to a fair agreement, and we encourage all parties to come to the bargaining table and negotiate in good faith—fairly and quickly.”   Updated: October 1, 2024 7:55 am Redbook Weekly US Retail Sales Headline Recap   **Redbook Weekly US Retail Sales were +5.2% in the first four weeks of September 2024 vs September 2023 **Redbook Weekly US Retail Sales were +5.3% in the week ending September 28 vs yr ago week Updated: October 1, 2024 8:37 am The September Purdue University Ag Economy Barometer recorded its lowest readings since March 2016 at 88 down from 100 in the prior month. Declining income expectations pushed farmer sentiment down, and the Index of Future Expectations dropped 14 points to 94. The Index of Current Conditions also fell to 76 from 83 in the prior month, which nearly matched levels seen in April 2020, during the height of COVID-19 concerns for farmers.   Updated: October 1, 2024 9:01 am Institute of Supply Management (ISM) US Manufacturing Headline Recap   **ISM US September Manufacturing Composite Index: 47.2 ; expected 47.4 ; prior month 47.2 **ISM US September Manufacturing Prices Paid: 48.3 vs prior month 54.0 **ISM US September Manufacturing Employment: 43.9 vs prior month 46.0 **ISM US September Manufacturing New Orders: 46.1 vs prior month 44.6 **ISM US September Manufacturing Inventories: 43.9 vs prior month 50.3 **ISM US September Manufacturing Production: 49.8 vs prior month 44.8 Updated: October 1, 2024 8:46 am US Job Openings and Labor Turnover Survey (JOLTS) data for August 2024 will be released this morning around 9:00 am CT. Last month’s report estimated the end of July job openings at 7.673 million.       Watch Tomorrow’s Movers and Shakers: 4 fed Speakers Hammack, Musalem, Bowman and Barkin during market hours .       Earnings: only 9 headed by ConAgra  
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Daily Levels for October 2, 2024

7bb92725 71e2 4cbe bd20 c27d694214a4 Economic Reports provided by: ForexFactory.com All times are Eastern Time ( New York)
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* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

Portfolio Shifts: Navigating the Start of a New Interest Rate Cycle

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The beginning of an interest rate cycle

September 30, 2024 by GalTrades.com The beginning of an interest rate cycle causes portfolio managers to reevaluate what’s in their portfolio. Stock valuations are fully priced, as long as the economic data continues to support the case for a soft-to- (potentially) no landing, it seems the path of least resistance continues to be higher. However, the bulls will likely need Q3 earnings, which start in about two weeks, to come in relatively strong to support current valuations. China stocks recorded one of the largest weekly gains on record. In the U.S., several industries that potentially benefit from China’s stimulus plan, such as materials and industrials, outperformed this week. The China story can put a floor for steel prices. China issued the most stimulus package since COVID, Analysts are saying this is the first inning. The rate cut, lower interest rate, cutting down payment for investment properties by 10%, 140 billion in new lending, they are focused on consumption stimulus. And the Government said they are committed to more, that should lead to better growth. Portfolio managers have been very underweight and unexposed to China. they have to jump in otherwise their clients may complain. As of now it should be a trade for a few months. Whether this is a long-term play remains to be seen. Stocks and ETF’s that so upside momentum from the China trade, FXI, KWEB, BABA, JD, LI, PDD, BIDU, NTES, FCX, ETN, WYNN, LVS (63% of LVS revenue is in Macau, they are due to stop spending on renovations early 24) View my YouTube from last week regarding KWEB and where I see the ETF next targets according to technical analysis. Positives signs for the market: GDP estimates point to a healthy economy 3.1 % real GDP pace, there was a huge increase in wealth 16 straight months of wage gains, should be continued momentum for our economy. On the other hand, strategist forecast relative to where the market is trading now are the most bearish 5483 which is 5% below where the S&P500 is currently at. This week’s economic data was mostly bullish for equity markets: this morning’s inflation data helps support the case that inflation is on track toward the Fed’s 2.0% target; jobless claims continue to come in below estimates; and Points to consider: The market wants to melt up some more, first because the Fed will likely loosen monetary policy further. The Fed’s dot plot outlined several more cuts to come; high rates need to come down to support economic growth. That all but guarantees that the economy will stay in growth mode and won’t hit recession any time soon. Lower rates would only boost consumer spending on housing and other goods and services—a demand picture that will spur investment from companies, helping the industrial economy specifically. As long as the market envisions this growth trajectory, it can stay up. S&P 500 trades at 21 times expected earnings for the coming 12 months, the high end of its range since the Fed moved rates up from 0% in early 2022. But earnings are increasing. The index is currently trading at less than 21 times expected 2025 earnings of $276 a share according to FactSet, so the index could hold strong through the end of this year. Earnings per share for the index could grow 14% annually to $310 in 2026. As long as cost inflation—such as moderate increases in wages and salaries, isn’t too burdensome companies could increase their profit margins a bit. Next week we only have a few earnings reports. so, the focus will likely remain on the economic data. Friday’s monthly jobs data will be the highlight, but Tuesday’s JOLTS report will provide an important read on the labor market. .The S&P sold off following the release of the last two monthly jobs reports (-1.8% & -1.7% respectively). In the days leading up to Friday’s report however we shouldn’t expect too much volatility. And depending on the jobs data report we’re probably going higher or lower. There is an upcoming negotiation deadline (Monday at midnight) between East Coast dock worker unions and terminal operators which could result in a strike. If the dock workers end up striking, this may put some selling pressure on stocks because of the potential inflationary impact on goods prices. Lots of talk about jeans trends these days keep an eye out for Levi Strauss & Co. (LEVI) reporting on Wednesday. Nike Inc. (NKE) is reporting on Monday, China is 15% of Nike sales. The market is powered by the rotation, look at the fallowing ETFs for confirmation: RSP is the equal weight, IJR is mid cap and IWM is small cap, industrial, materials energy & Cyclical were amongst the strongest this week, we want to see continued upside. Is this market priced to perfection? It seems so; therefore, we need to keep an eye on earnings and economic data. META new all-time highs, ETN is a part of data center energy infostructure story. If your building data centers, you need industrial earth moving equipment as well. The Russell 2000 the index appeared to be breaking out of a bull flag formation. If the RUT is able to clear its prior 52-week high from back in July, this could shift the “rotation trade” into a higher gear and would likely be viewed as a bullish confirmation for the overall economy. On a technical level, the NDX filled the July 17 GAP, the SPX RSI on a weekly chart has lower high’s which is concerning given the fact that its not supporting the SPX move higher. Due to the technical issues, I see and the fact that a lot of indicators are very stretched I think one should trade with extreme caution.    
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Daily Levels for October 1, 2024

165fa17a 8a06 4b1c 945f 606251e469ed   Economic Reports provided by: ForexFactory.com All times are Eastern Time ( New York)
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3b644da2 2bee 4d39 8d98 5208a20bec39
* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

Key Economic Data Ahead: PCE & Inflation Expectations in Focus

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  PCE tomorrow is watched closely by the FED and traders followed by Univ. of Michigan inflation expectations.

Natural gas outlook below for your review

Plan your trade and trade your plan  

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November Natural Gas   November natural gas activated upside PriceCount objectives off the September low. The chart quickly has completed the first objective where we are getting a reaction with a near term correction/consolidation trade. At this point, if you can resume the rally with new sustained highs, the second count would project a potential run to the 3.02 area.

91f9b6ce 69b2 41be a7c6 cf99a13d29a8   The PriceCount study is a tool that can help to project the distance of a move in price. The counts are not intended to be an ‘exact’ science but rather offer a target area for the four objectives which are based off the first leg of a move with each subsequent count having a smaller percentage of being achieved. It is normal for the chart to react by correcting or consolidating at an objective and then either resuming its move or reversing trend. Best utilized in conjunction with other technical tools, PriceCounts offer one more way to analyze charts and help to manage your positions and risk. Learn more at www.qtchartoftheday.com Trading in futures, options, securities, derivatives or OTC products entails significant risks which must be understood prior to trading and may not be appropriate for all investors. Past performance of actual trades or strategies is not necessarily indicative of future results

Daily Levels for September 27, 2024

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Economic Reports

provided by: ForexFactory.com

All times are Eastern Time ( New York)

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* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

Quick Videos on Trading Techniques + Futures Trading Levels for 9.25

Posted on by Ilan
Get Real Time updates and more by joining our Private Facebook Group! Subscribe to our YouTube Channel Listen to our Market Recap Podcasts on Apple Podcasts
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Trading Videos

Instant Viewing

Watch a series of short videos, where our VP, Ilan Levy-Mayer shares his personal preferences and opinions on different trading topics.

  • Ever wondered when to exit a trade? Take a look at what Ilan has to share on Bollinger Bands and a study called PARABOLICS
  • Some common uses you can make of support and resistance levels.
  • Filter out the noise with range bar charts
  • “Price Confirmation”

WATCH NOW

 
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Daily Levels for September 26, 2024

1088a659 e5de 42bc 8e24 66ef19a6e359 Economic Reports provided by: ForexFactory.com All times are Eastern Time ( New York)
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Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker at 1-800-454-9572. Explore trading methods. Register Here
3b644da2 2bee 4d39 8d98 5208a20bec39
* 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 here in 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 judgement in trading.   #Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

Market Movers: Precious Metals Surge, Dollar Slides, and New Home Sales September 25th 2024

Posted on by Ilan

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Listen to our Market Recap Podcasts on Apple Podcasts

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Movers and Shakers

By John Thorpe, Senior Broker   With Equities quietly trading in a consolidation phase, Interest rates following, the precious metals ,once again found footing and surprised many traders with their mid-day upside move, Gold higher by $36.00 @ 2689.00, Silver up $1.50 into the $32.50 /Troy OZ range..  The US Dollar @ 100.10 continuing it’s 2.5 month long slide, flirting with 14 month lows of 99.22. Metals should gain additional strength if the dollar falls below that number on a closing basis.   Todays Headlines   Updated: September 24, 2024 6:12 am Churning hurricane threatening US production, continued Middle East tensions, and Chinese stimulus measures have helped crude oil prices trade higher on Tuesday.   Updated: September 24, 2024 7:00 am China’s central bank announced its largest stimulus measures since the pandemic. The bank will lower interest rates and additional funding. However, analysts say very week consumer and business demand for credit will have little response to lower interest rates, and the lack of fiscal stimulus measures will leave the central bank’s response to fall short of jump starting the economy and beating back deflationary environment.   Updated: September 24, 2024 7:55 am Redbook Weekly US Retail Sales Headline Recap   **Redbook Weekly US Retail Sales were +5.2% in the first three weeks of September 2024 vs September 2023 **Redbook Weekly US Retail Sales were +4.4% in the week ending September 21 vs yr ago week   Updated: September 24, 2024 8:00 am Case Schiller 20 US Metro-Area Home Prices Recap   **Case Schiller 20 US metro area home prices for July Y/Y: +5.9% from the year ago month **Case Schiller 20 US metro area home prices for July M/M: +0.01% vs prior month   Updated: September 24, 2024 9:02 am Richmond Fed Manufacturing Index Headline Recap   **Richmond Fed September Manufacturing Index: -21.0 ; prior -19.0 **Richmond Fed September Manufacturing Shipments Index: -18.0 ; prior -15.0 **Richmond Fed September Manufacturing New Orders: -23.0 ; prior -26.0 **Richmond Fed September Manufacturing Employees: -22.0 ; prior -15.0 **Richmond Fed September Manufacturing Prices Paid: +3.36 ; prior +2.45 **Richmond Fed September Manufacturing Prices Received: +1.57 ; prior +1.87   **Richmond Fed September Service Sector Index:-1.0 ; prior -11.0 Updated: September 24, 2024 9:09 am Conference Board Consumer Confidence, Present Situation, Expectations Index Headline Recap   **Conference Board September Consumer Confidence Index: 98.7 ; prior revised to 105.6 from 103.3 ; expected 102.8 **Conference Board September Consumer Present Situation Index: 124.3 ; prior revised to 134.6 from 134.4 **Conference Board September Consumer Expectations Index: 81.7 ; prior revised to 86.3 from 82.5   Tomorrows Movers and Shakers New Home Sales Released On 9/25/2024 10:00:00 AM For Aug, 2024   d5630393 2c73 4ce0 b0be 7493161efe7b   US new home sales data for June will be updated Wednesday morning at 9:00 am CT. Analysts expect new home sales month-to-month at a 0.640 mln unit annualized pace, up +3.4%. The prior month’s sales were -11.3% at 0.619 mln unit annual rate.   Micron Technology reports after the close  

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Daily Levels for September 25, 2024

 

Economic Reports

provided by: ForexFactory.com

All times are Eastern Time ( New York)

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Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker at 1-800-454-9572.

Explore trading methods. Register Here

3b644da2 2bee 4d39 8d98 5208a20bec39

* 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 here in 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 judgement in trading.

 

#Equities, #Consolidation phase, #Interest rates, #Precious metals, #Gold, #Silver, #US Dollar, #Crude oil prices, #HurricaneHelene, #Middle East tensions, #Chinese stimulus, #Redbook US Retail Sales, #Case Schiller US Metro-Area Home Prices, #Richmond Fed Manufacturing Index, #Service Sector Index, #Consumer Confidence, #New Home Sales, #Micron Technology

How a Commodities Broker Can Help You Diversify Your Investment Portfolio

Posted on by Ilan

If you’re active in the stock market and know how to trade and sell to make money then your next step in getting the most out of companies and securities is to find a commodities broker to trade commodity contracts on your behalf, no matter how active traders are using commodity futures. You can find a broker to do the trading on your behalf or get access to trading platforms and advanced tools that let you become a commodity trader on your own. You can turn a profit out of any commodities markets when you have industry at your fingertips and you won’t have to pay massive exchange fees or increase your risk exposure.

If you go with a commodities broker, you’ll have the advantage of all the trading experience he or she has and they’ll ensure that your assets provide derivatives that make you money while they’re executing trades on your behalf. Suppose you prefer to carry out the business of futures trading and futures contracts on your own. In that case, you’ll have access to all exchanges through trading platforms built by experienced traders and investors. There’s no easier way to trade and make a profit in the market and commodities brokers from all over the industry will be there to help you make the right decisions.

Understanding Commodities and Commodity Brokers

To understand what a commodities broker does, you have to understand what a commodity is and it’s not difficult, once you understand that it’s a physical good, unlike stocks or bonds that most people trade. You can think of commodities as precious metals such as gold, energy like crude oil, and foods such as soybeans, corn, and grain. Each one of those has a price and you’ll typically be trading their futures, as opposed to trading the price of grain don’t the day you make the exchange.

People who trade commodities are well-versed in futures markets and have an idea of where the price of something will be on the day the trades are made in the future, meaning your trader is the best source of information on the market. For instance, you likely don’t know what will happen to gold on the London metal exchange. Hence, commodity brokers are best to negotiate commodity contracts on your behalf so you make the most profit off your investment. No matter how many trades you want to exchange with other investors, you’ll have a steady flow of derivatives that your commodity trader or commodities broker gets for you.

Key Characteristics of a Good Commodity Broker

Man Studying Graphs

There are a few things to look for in a good commodities broker or commodity trader and the first is that they have lots of educational trader material for their clients to check out so they know what the commodity broker is doing and they’re they’re doing it on their behalf. They should also let their clients make trades on their own without charging exorbitant fees that cut into their derivatives so much they struggle to make money off the markets. While trading commodities will come with fees, they should be fair so everyone from the trader to the brokers benefits from it.

Your commodities broker or trader should give you access to futures trading that you can’t get on your own so you find plenty of value in what they have to offer you while you make your way through the exchanges on their platform. Every trader should have access to educational material to learn what futures trading is and how futures commission merchants fit into the business before they decide to buy their first commodity. Commodities brokers should also be regulated by the National Futures Association, so you can be sure that all commodities and futures are being traded the way they’re supposed to be.

What to Look for in a Commodities Trading Platform

When you want to act as your own trader, instead of commodity brokers trading on your behalf, it’s just as important to check out any platform you’re considering to ensure they’re adhering to National Futures Association rules and that you’ll have access to all the trader information as a broker. It’s a very good idea to seek out a platform that offers the assistance of a commodity broker who doesn’t act as your trader but gives you advice on the futures to buy and sell. This is a well-rounded and balanced approach that leaves you in charge of the final trader decisions while the brokers simply offer you input.

The platform should also have plenty of graphs that you can use to follow the course of the commodity and make an informed guess on where it will be in the future when your trader moves are carried out in the markets. Any commodity broker will tell you that information is their main source of power and that’s what you need to get from the platform you choose to use. It’s the best way to know that your portfolio management choices are sound and that you’ll be making better choices for you than brokers would.

Security and Safety

Silver Bars

Finally, whether you choose to let a commodity broker be your trader, or if you’re making the decisions on your own, the platform you use should put your safety and security about everything else they have to offer you, especially since you’re dealing with your livelihood and the derivatives you’ve worked so hard to make. It doesn’t matter which commodity you want to invest in on the trader platform, your information should always be kept safe and secure on the site and your broker should always let you know exactly what’s happening with your capital.

It’s also important to have access to live trader and commodity news on the platform so you can make informed decisions about everything you choose to do as your own broker. The best commodity platform will have plenty of up-to-date information for you to study or glance at to know what’s happening and what’s coming in the market. Once you find a trader platform with all that, you’ll have everything you need to be the best broker you can be.

What to Watch for After a Fed Rate Cut: Market Reactions, Opportunities, and Risks

Posted on by Ilan
Get Real Time updates and more by joining our Private Facebook Group! Subscribe to our YouTube Channel Listen to our Market Recap Podcasts on Apple Podcasts
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What to look out for after a FED rate cut

September 23, 2024 by GalTrades.com Powel said at the Jackson hole meeting, “The time has come for policy to adjust,” The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook and the balance of risks.” It didn’t matter if we got a .25 or .50 basis point rate cut, earnings growth will determine if the market can keep going up. The market made new all-time highs, but only one MAG7 stock made new all-time high, META. That means the rally is broadening, a positive point for the market. The S&P is currently trading at a forward P/E of 21 which suggests that a lot has been priced regarding the bull thesis. Valuations are high and that should be noted. How much higher can the market go up? remains to be seen. “don’t fight the Fed” or “don’t fight the trend” are statements to sustain near-term bullish momentum. Aside from the FED cutting rates, the economy still appears to be on firm footing. Next week the earnings and economic calendar is relatively light, outside of next Friday’s PCE report, but perhaps this can be conducive for recent bullish momentum. In the absence of news, the path of least resistance is higher. Yes, we are still in the midst of bearish seasonality, but the technicals look encouraging. Going forward bad news is good news because the FED will need to lower rates on bad news, unless the news is disastrous. As long as the SPX can remain above July’s prior all-time closing high 5,667, we should see continuation. An SPX close below 5,667 could introduce concerns of a false breakout to all-time highs, which would likely introduce some additional selling pressure A positive point: 76% of the S&P 500 stocks are above there 50 Day Moving Averages and 76% are above their 200 Day MA. Year to date the two top performing factors were momentum and growth which were up 29/27 % respectively. The two worst preforming groups were yield and value stocks. In the last 3 month that flipped. Dividend and value stocks get an uptick when rates come down. I see analysts calling for the small caps to go up with rate cuts. The action on Wednesday didn’t show that. It may be wise to react as opposed to jumping in now. It would make more sense for mid-caps to go up prior to small caps as there are more profitable companies in mid-cap sectors. Statistics show post-election the markets usually end higher. And in the past when the FED has cut rates in a soft landing, or no landing markets ended up higher for the next 6 to 12 months almost 100% of the time. Cyclical, mortgage, auto loan rates and small cap stand to benefit from rate cuts. Rate cuts can ignite small caps and value stocks. The IJR index contains a higher % of companies which are profitable as opposed to the IWM Russell 2000. Bull market indicators usually benefit capital market plays, stocks such as; CBOE, IBKR, BLK, GS. Rate cuts should help the homebuilders XHB ETF. If Fed rate cuts can bring short-end bond yields down to more normal rates, then banks wouldn’t have to overcompensate at the long end and longer-term loans like mortgages could come down. That would put more money in the pockets of everyday Americans and help fuel all sectors of the stock market — not to mention the benefit lower rates have on valuations. Commodities and oil prices are down, rates are coming down. That’s all good for companies and the consumer.   Energy companies as opposed to the price of oil. historically this sector has been one of the best sectors going into a rate cut. What we didn’t have in the past is a slowdown in China, that narrative should put a lid on appreciation. There may be some individual names that are exceptions. FINISH ARTICLE HERE
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Daily Levels for September 23, 2024

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  Economic Reports provided by: ForexFactory.com All times are Eastern Time ( New York)
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Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker at 1-800-454-9572. Explore trading methods. Register Here
3b644da2 2bee 4d39 8d98 5208a20bec39
* 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 here in 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 judgement in trading.
RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.