On 03/11/2021 TraderTalent.com is bringing you another guest post from Bryan Noble.

U.S. Equity Markets added to Monday’s gains, as all three Indexes closed at new all-time highs led by the Dow which closed 0.39% higher. Markets opened flat and rose throughout the day. Earnings season remains a tailwind for markets, with strong reports from DuPont de Nemours (DD) and McKesson (MCK) highlighting yesterday’s reports. Treasury Secretary Janet Yellen said she does not believe the domestic economy is overheating, as she anticipates supply-chain bottlenecks and labour shortages will ease. Congress is reportedly planning a vote for budget and infrastructure bills on Friday. The Federal Reserve has its policy meeting this afternoon, and investors expect that the central bank will announce the start of its asset tapering, while on Friday, we will see the release of NonFarm Payrolls and the Unemployment Rate, which will give a clue on the labour market’s health. European Markets closed higher for the fifth consecutive session. Markit Euro-Zone’s final manufacturing Purchasing Managers’ Index (“PMI”) data for October weakened compared with the preliminary reading, as new orders activity declined. European Central Bank Chair of the Supervisory Board Andrea Enria said banks will have to adapt their businesses to survive in a long period of low interest rates. European energy prices hit the lowest level since September after China increased coal production, easing concerns of rapidly rising inflation. In Asia, U.S. Treasury Secretary Janet Yellen suggested tariffs on imports from China could ease if the country honours its commitment to the Phase One trade deal. Bank of Japan Meeting Minutes showed members felt it was necessary to continue easy-money policies until the economy had fully recovered from the COVID-19 pandemic. South Korea’s Consumer Price Index (“CPI”) figures for October were weaker than anticipated, but still hit the highest level since 2012, suggesting the central bank will raise interest rates again. Reserve Bank of Australia Governor Philip Lowe said it would take some time for inflation to return to its target, while an interest rate increase was unlikely before 2023 Elsewhere, Oil declined 0.67% on little new while Gold fell 0.39% on Dollar strength.

To mark my 2425th issue of TraderNoble Daily Commentary I am offering a special 2-Year Rate of Euro 2750 for my Platinum Service which includes 1 to 4 updated emails throughout the trading day to demonstrate this value, a monthly subscription over the same period would cost 4440 euro in total This offer represents a 38% discount and is open to both new and existing members. If anyone is interested in this offer can you please email me on [email protected] for details

For anyone following my Platinum Service it made 9 points yesterday, and is now ahead by 159 points for November, after ending October with a gain of 1028 points, 2866 points in September, 1543 points in August, and 996 points in July. The Platinum Service made 1366 points in June, 1439 points in May, 1244 points in April, having ended March with an impressive gain of 3769 points, 3286 points in February, 2077 points in January, and 2273 points last December. Since I started this New Platinum Service in June 2015 it has averaged a monthly gain of over 1600 points

Equities

The S&P 500 closed 0.37% higher at a price of 4630.

The Dow Jones Industrial Average closed 138 points higher for a 0.39% gain at a price of 36052.

The NASDAQ 100 closed 0.42% higher at a price of 15,72.

The Stoxx Europe 600 Index closed 0.7% higher.

Yesterday, the MSCI Asia Pacific Index fell 0.3%.

Yesterday, the Nikkei closed 0.43% lower at a price of 29,520.

Currencies

The Bloomberg Dollar Spot Index closed 0.2% higher.

The Euro closed 0.2% lower at $1.1580.

The British Pound closed 0.3% lower at 1.3615.

The Japanese Yen rose 0.1%, closing at $113.89.

Bonds

Germany’s 10-year yield closed six basis points lower at -0.16%.

Britain’s 10-year yield closed one basis points higher at 1.05%.

US 10 Year Treasury closed two basis points lower at 1.55%.

Commodities

West Texas Intermediate crude closed 0.67% lower at $83.39 a barrel.

Gold closed 0.39% lower at $1,785.10 an ounce.

This morning on the Economic Front we have Euro-Zone Unemployment and U.K. Markit Services PMI at 9.00 am and 9.30 am respectively. Next, we have a speech from ECB President Lagarde at 10.15 am, followed by U.S MBA Mortgage Applications at 11.00 am. This is followed by the ADP Employment Change at 12.15 pm and Markit Services PMI at 1.45 pm. At 2.00 pm we have Factory Orders and ISM Services PMI. Finally, we have the FOMC Statement at 6.00 pm and the Powell press conference at 6.30 pm.

December S&P 500

The S&P joined the NDX in closing above 70 for the 14-Day RSI as this vertical move keeps getting more and more insane. I will not buy a vertical market as history tells us that these moves end in tears. The S&P is now trading over 400 Handles above its 200 -Day MA. The S&P has left six ‘’Open Gaps’’ over the past three weeks below here which is highly unusual while at 6.00 pm this evening the Fed are expected to announce some form of tapering. As we know this move higher has been built on QE and once this is taken away who is left to buy the markets?. Yesterday the S&P hit my sell level at 4620. I am still short and I will add to this trade at 4635 with a now higher 4651 ‘’Closing Stop’’. I will now raise my T/P level on this position to 4608 as I expect plenty of volatility surrounding the Statement and Powell press conference. Meanwhile, I continue to be a buyer on any dip lower to 4570/4585 with a 4559 ‘’Closing Stop’’. If I am taken long  I will have a T/P level at 4597.

EUR/USD

Ahead of the FOMC, I will now lower my buy level to 11470/1.1520 with a lower 1.1435 stop. If I am taken long I will have a T/P level at 1.1555.

December Dollar Index

No Change. I am still a small seller from 94.45/94.95 with the same 95.31 stop. If I am taken short I will have a T/P level at 94.20.

December DAX

Despite weaker than expected PMI data, the DAX rose for the fifth consecutive trading session, helped by lower Bund Yields. As a result, I am now short the DAX at a price of 15930 with a now higher 15880 T/P level. I will add to this trade at 16020 while leaving my 16105 stop unchanged.

December FTSE

No Change. I am still a seller on any further rally to 7310/7360 with the same 7405 stop. I still do not want to be long  the FTSE at this time. If I am taken short I will have a T/P level at 7270.

Dow Rolling Contract

I am still flat. I will now raise my buy level to 35650/35820 with a higher 35525 ‘’Closing Stop’’. As I am now short the S&P, I will raise my Dow sell level to 36210/36380 with a higher 36525 ‘’Closing Stop’’. If I am taken long I will have a T/P level at 35950. If I am taken short I will have a T/P level at 36090.

December NASDAQ

My NASDAQ plan worked well but as you usual with any short position you had to be quick to take your gain. After hitting my 15970 sell level, the NDX sold off to my 15910 revised T/P level and I am now flat. Today, I will again be a seller from 16040/16130 with a 16205 ‘’Closing Stop’’. I still do not want to be long the NDX at this time. If I am taken short I will have a T/P level at 15970.

December BUND

As expected, the ECB stepped into to support European Bond Markets yesterday, driving the Bund lower by six basis points. I am still flat and ahead of the FOMC I am going to stay flat as I do not want to have any Bond exposure ahead of this evening’s Statement.

Gold Rolling Contract

I will now lower my buy level to 1745/1760 with a wider 1729 stop. If I am taken long I will have a T/P level at 1768.

Silver Rolling Contract

Silver sold off yesterday, stopping my out of my 24.00 long position at 23.49 and I am still flat. Silver has support from 22.30/22.90 where I will again be a buyer with a 21.85 stop. If I am taken long I will have a T/P level at 22.35.

Your Platinum Subscription intraday updates will appear here once they are published.

Hi Everyone

Equity Markets are on hold ahead of the  FOMC Statement in two hours
Gold did hit my 1760 buy level and as I want to be flat ahead of the Fed, I have now exited this long  position here at 1764
Kind Regards
Bryan
Update 2

Hi Everyone

The buy everything rally shows no sign of stooping despite the Fed announcing a $15bn per month taper from Mid Nov
The NDX rallied to my initial 16040 sell level before selling off and as I want to be flat ahead of Powell’s press conference I have now exited this position here  at 15990 and I am now flat
Kind Regards
Bryan
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