The futures market comprises mainly of two players, namely, the hedgers and the speculators. While the former use futures as a safety or protection blanket, the latter is a group of traders who handle the trading accounts of those investing in the futures.
Futures trading can be arisky business that can require guidance and consultancy. Whether you are an individual or a firm, you need to be well-versed with the rules of the game. Futures brokers are always there to help you with advice and help you in matters related to futures trading. A rule of futures trading is that one canonly use those funds that have been termed as risk capital.
We at Cannon Trading help your understanding of the big and small things about futures brokers and trading. Apart from that, we also aid you in making the most out of the market; and, no matter how volatile and risky it is we offer the best advice we possibly can on trading. Under this category of futures broker, we write about the latest and informative articles that you should read to get equipped on the recent events in the futures markets.
CPI tomorrow at 7:30 AM Central time. Market moving report.
Why Traders Care?
Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment
Derived Via The average price of various goods and services are sampled and then compared to the previous sampling;
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
A sleepy week for market moving info EXCEPT!…. if you are trading the financial futures products you look for earnings reports and economic numbers to fuel the big moves you can profit ( or lose…) from, this week we have….
Well, the major earnings reports seem to be behand us but we still have companies that are proxies for gauging economic health, this week’s biggest one is UPS, on Tuesday before the open. Yellow trucking is bankrupt, what say UPS and it’s delivery wagons? I snipped this from Seeking Alpha The consensus EPS estimate is $2.50 and the consensus revenue estimate is $23.12 billion.
Over the last 2 years, UPS has beaten EPS estimates 88% of the time and has beaten revenue estimates 63% of the time.
Fewer economic numbers this week but we have a whopper on Thursday early, July CPI will be released at 7:30 am CDT
PPI is on Friday morning and for you stalwart grain traders Friday @ 9:00 CDT WASDE, Crop production and USDA Supply and Demand , these numbers are critical to marketing efforts this time of year and could create large price swings call you broker and ask about grain options before the reports to take advantage of Friday Grain Volatility and beyond!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
Trading Resource of the Week – Trading Key Economic reports
Hot Market of the Week – September Crude Oil
Broker’s Trading System of the Week – NQ Day Trading System
Trading Levels for Next Week
Trading Reports for Next Week
Trading Resource of the Week – Trading Key Economic Reports
As a trader, you will come across many factors that you must consider before entering or exiting the markets. Some of the most important aspects to look for are economic events that can move the markets drastically one way or another.
There are many types of economic events including releases by a governing body, changes in sales or consumption of commodities, and increases in supply and demand. All of these can affect the markets you trade, making it important for you to know how and when these changes are happening.
Hot market of the week is provided by QT Market Center, A swiss army knife charting package that’s not just for Hedgers, Cooperatives and Farmers alike but also for Spread traders, Swing traders and shorter time frame application for intraday traders with a unique proprietary indicator that can be applied to your specific trading needs.
September Crude Oil completed it’s first upside PriceCount objective and had a brief break. At this point, if the market can maintain the bullish tone, the next upside PriceCount objective comes at 89.31
PriceCounts – Not about where we’ve been , but where we might be going next!
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.
With algorithmic trading systems becoming more prevalent in portfolio diversification, the following system has been selected as the broker’s choice for this month.
The performance shown above is hypothetical in that the chart represents returns in a model account. The model account rises or falls by the average single contract profit and loss achieved by clients trading actual money pursuant to the listed system’s trading signals on the appropriate dates (client fills), or if no actual client profit or loss available – by the hypothetical single contract profit and loss of trades generated by the system’s trading signals on that day in real time (real‐time) less slippage, or if no real time profit or loss available – by the hypothetical single contract profit and loss of trades generated by running the system logic backwards on back adjusted data. Please read full disclaimer HERE.
Questions about the markets? trading? platforms? technology? trading systems? Get answers with a complimentary, confidential consultation with a Cannon Trading Company series 3 broker.
First Notice (FN), Last trading (LT) Days for the Week: www.mrci.com
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.
Good Trading!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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.
NFP, Non Farm payrolls or Unemployment numbers will be released tomorrow at 7:30 AM central. This is currently he biggest report as fed policy depends quite a bit on the labor market.
Be aware of the report, what market is expecting and how the market reacts.
I normally like to be flat 2 minutes before and stay that way for few minutes after until the “smoke clears” but every trader is different.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
“Non Farm Payrolls and may the good Earnings continue.”
For roughly the half way mark in this earnings season, believe it or not, earnings are following expectations and declining for the third straight quarter.
Let me say that again, AS EXPECTED, earnings are declining for the third straight quarter. As expected, according to FACTSET the largest quarterly earnings decline since Q2 2020 is @ -7.3% projected this quarter for all combined reports. But Wait! the indices are high fliers? !! for the year the Nasdaq is up 36%, the S&P is up 20% and the Dow is up nearly 7%.
Why? The economic data continues to surprise to the upside, When Bad is not as bad as expectations”? and after street pundits have been calling for a recession over the past 18 months and the Labor market still characterized as “tight” by Fed Chair Powell last week we have a dichotomy in Fiction vs Fact that is driving prices higher as a “softlanding” with perhaps nary a recession will result from all the fed tightening when the Fed Board declares inflation whipped is gaining traction with some economists.
The tight labor market is keeping the recession from creeping into our economy, BTW earnings expectations have been largely muted and the bar substantially lowered however, earnings so far, even though the lowest since Q@ 2020, have exceeded analysts expectations over 80% of the time this quarter.
This week AMD, CAT PFEW SBUX report after the close on Tuesday. AAPL and AMZN report Thursday after the close.
On the Economic Data front the biggest reports are employment based, JOLTS 9AM CDT Tuesday, ADP 7:15 CDT Wednesday, Jobless Claims at 7:30 am CDT and the big Monthly NonFarm Payrols on Friday @ 7:30 CDT
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
As expected, today Federal Reserve officials raised interest rates by 25 basis points. This puts the Federal Funds Rate – the central bank’s key borrowing rate – at a range of 5.25 to 5.50. This is the highest level at which Fed Funds have been set since 2001. The vote was unanimous among the Fed governors to take this latest step in the bank’s efforts to rein in inflation and cool the economy. This increase is the latest in the fed’s months-long effort to rachet up borrowing costs resulting in a reduction in demand for goods, services and labor in the economy.
WTI crude oil has been repeatedly plumbing its lows of the year between $67 and $70 per barrel the entire second quarter. Yesterday it traded within 10 cents of $80.00 per barrel intraday (basis Sept.) to 3-month highs – a solid ±$12 per barrel move this month; a ±$12,000 per contract move. Analysts largely attribute the increase to recently announced output cuts by Saudi Arabia and Russia.
September soybeans traded up 21 ¼ cents today to this crop year’s and life-of-contract highs, closing at $15.56 ½ per bushel. The current rally off it’s late-May lows just above $12.00 per bushel (a ±$17,500 per contract move) reflect the continued sentiment that U.S. soybean crop conditions will continue to deteriorate as harvest approaches.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
The week ahead Earnings, Earnings, FOMC, ECB Rate decision and more Earnings and more govt reports!
Tuesday @ 9 am CDT US Consumer confidence will be released, expectations are for better than last month by a few bases points then : Tuesday after the close GOOG reports Q2 earnings expectations are +$1.34 per share. MSFT also reports it’s fiscal Q4 , expectations are for earnings +$2.55 per share, Regional banks will also be reporting this week, The Regionals have the largest exposure to the Commercial Real Estate problem, keep a close on on any developments here. Wednesday META reports +$2.91 expected Thursday AMZN +$.34 expected. Govt Reports: Tuesday thru Friday C Confidence mentioned above and the start of the FOMC the last one until September Expectations are currently projected with a confidence rating of 98.9% for a .25 increase to the 5.25=5.50 range. The actual announcement is Wednesday @ 1pm CDT with a press conference to follow 30 minutes later . Thursday the ECB announces it’s short term rate policy and they are expected to follow suit another .25 @ 7:15 am CDT. Q2 GDP is released at 7:30 CDT along with Durable goods, Intl trade in Goods ands US Jobless claims. Friday we can take a breath as the markets unwind their directions from the previous three days and will tend to reverse in a risk off stance prior to the weekend as we head toward the Dog Days of summer.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
Highlights, Announcements by Mark O’Brien, Senior Broker
General:
Forecasts for the U.S. economy continue to reduce the chances of recession – or if one arrives its lower severity – as readings for reports like the Consumer & Producer Price Indexes and Personal Consumption continue to show inflation is coming under control. At the same time, fear has dissipated that the Federal Reserve’s interest rate policies will destabilize the business climate, particularly as it related to employment and hiring, albeit having cooled somewhat last month. Signs indeed point to the FOMC taking more of a wait-and-see stance in its upcoming meetings than the sense of tenacity it shown in raising rates eleven consecutive times ending in May. In the background, the U.S. dollar has drifted south giving exports a boost.
Agricultural:
Orange Juice futures (basis Sept.) traded to new all-time highs this week on the heels of Tuesday’s USDA crop report showing the U.S. orange crop’s 23% decline from last year and the smallest since 1937. As of this typing prices touched $2.9155 per pound intraday (contract size: 15,000 pounds). This is a substantial 90-cent price increase for the year, including a ±40-cent/$6,000 per contract move up in price this month alone.
The extreme heat across parts of the U.S., including low triple-digit temperatures forecast in key soybean and corn production areas next week have further threatened this year’s already stressed crops. In addition, grain supply disruptions related to the war in Ukraine are adding pressure on global grain supplies. Soybean futures (basis August) remain near their contract highs close to $15.00 per bushel and corn futures (basis September) have climbed back above $5.50 per bushel intraday today and yesterday, half-way back to its mid-June highs near $6.25 per bushel.
Financial:
What a run for stock index futures the last two weeks. Prior to what looks like a meaningful down day today, the Dow Jones cash market had risen seven consecutive days – since Mon. July 10 – its longest winning streak since March 2021. The Sept. YM futures contract made a similar move: up ±1450 points from its closing price of Friday July 7 to Wednesday’s intraday high. That’s a $7,250 per contract move. The ES made a similar ±8,500 per contract move and the NQ made an impressive ±$17,100 move.
Sign up for the Cannon Trading via CME Group FX Futures Trading Challenge for your chance to sizzle the competition this summer – Trade futures currencies like the euro, Canadian dollar, Yen, British pound and other contracts in a risk-free environment while competing with fe11ow traders for a cash prize•.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
Watch the video below for ideas if using VOLUME and/or RANGE bar charts while day trading can help you filter out the noise and get signals FASTER when volume and price action are active?
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether 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 when it comes to Futures Trading.
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.
