On 10/11/2021 TraderTalent.com is bringing you another guest post from Bryan Noble.

U.S. Equity Markets finished the day slightly in the red, led by the NASDAQ 100’s 0.71% decline. Coming into yesterday, the S&P 500 had closed at an all-time high for eight straight days. That was the longest streak since 1997. So some profit-taking in stocks was warranted. Inflation data was another one of the big drivers of the decline. Producer Price Index (“PPI”) for October held steady versus the month prior, showing that the inflationary pressures for business are sticking around for now. And core PPI, which strips out volatile components, rose from the prior month, potentially signalling a pickup in inflation if that trend were to continue. Now, investors will look ahead to the other inflation data points coming out this week. Prolonged high inflation could lead the Federal Reserve to act to cool the economy, though yesterday’s Fed speakers said they do not think this scenario will happen until the end of 2022. European Markets closed higher. The European Commission was designated as the exclusive authority for technology rule enforcement, sparing the industry from various state rules. French economic growth has returned to pre-pandemic levels as consumer spending bounces back, according to a Bank of France business survey. Euro-Zone economic growth sentiment for November rose versus October on supply chain optimism, according to the Centre for European Economic Research (“ZEW”). In Asia, The People’s Bank of China introduced liquidity to the financial system for a second-straight day, adding $14 billion worth of funds. Japan’s Prime Minister Fumio Kishida was said to plan on introducing tax breaks to support increased consumer spending and support economic growth. Taiwan’s export growth numbers for October were weaker than anticipated due to difficult comparisons, while the total dollar volume hit record levels. National Australia Bank’s business confidence survey for October rose versus September, as companies were increasingly optimistic about profitability and employment. Elsewhere, Oil closed 2.98% higher after Dutch energy company Vitol said that oil demand was back at 2019 levels, while Gold rose 0.5%.

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 230 points yesterday, and is now ahead by 691 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 0.35% lower at a price of 4685.

The Dow Jones Industrial Average closed 112 points lower for a 0.31% loss at a price of 36,319.

The NASDAQ 100 closed 0.71% lower at a price of 16,219.

The Stoxx Europe 600 Index closed 0.2% higher.

Yesterday, the MSCI Asia Pacific Index fell 0.6%.

Yesterday, the Nikkei closed 0.75% lower at a price of 29,285.

Currencies

The Bloomberg Dollar Spot Index closed 0.1% lower.

The Euro closed 0.1% higher at $1.1594.

The British Pound closed 0.1% lower at 1.3554.

The Japanese Yen rose 0.3%, closing at $112.88.

Bonds

Germany’s 10-year yield closed six basis points lower at -0.30%.

Britain’s 10-year yield closed five basis points lower 0.82%.

US 10 Year Treasury closed five basis points lower at 1.44%.

Commodities

West Texas Intermediate crude closed 1.22% higher at $81.71 a barrel.

Gold closed 0.52% higher at $1,825.10 an ounce.

This morning on the Economic Front we have German CPI at 7.00 am. This is followed by U.S Weekly Jobless Claims (which are been released a day early due to the Veterans Day Holiday tomorrow) and CPI at 1.30 pm. Finally, we have Wholesale Inventories at 3.00 pm.

December S&P 500

After rising for 17 of the previous 19 trading sessions we saw some mild selling in the S&P, hitting a low of 4664, before rallying 12 Handles in the close. Earlier the S&P hit my 4699 sell level before selling off to my revised 4691 T/P level and I am now flat. Despite the small sell-off yesterday, the RSI still closed above 70 at 72.80. I will continue with my strategy of selling rallies given the grossly overvalued market that we are having. We all know that even the slightest sell-off will see the Fed do more QE. Imagine if we got a crash with Interest Rates at 0.00%? What will the Fed do then? They are trapped and will continue with this insane policy despite Oil rallying a further 3% in the past 24 hours. The S&P has resistance from 4685/4700 where I will be a seller with a 4721 ‘’Closing Stop’’. I am looking for the S&P to sell off to the 4557 level which is the high from September. If I am taken short I will have a T/P level at 4673.

EUR/USD

No Change. I am still a buyer from 1.1490/1.1540 with the same 1.1445 stop. If I am taken long I will have a T/P level at  1.1570.

December Dollar Index

The boring sideways price action in the Dollar shows no sign of ending and I am still flat. I will continue to be a 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

The DAX traded in a narrow range yesterday and I am still flat. I am still short from last week at 15975. As we are having a profitable week, I will now raise my exit level on this position to a small loss at 16005. If executed, I will be a seller from 16090/16160 with a 16215 stop. If I am taken short a second time I will have a T/P level at  16040.

December FTSE

No Change. I am still a seller from 7335/7385 with the same 7405 tight stop. If I am taken short I will have a T/P level at  7305.

Dow Rolling Contract

My latest 36450 short position worked well with the market hitting my 36320 T/P level (36172 low print) and I am now flat. The Dow has resistance from 36380/36550 where I will again be a small seller with a 36705 ‘’Closing Stop’’. I still do not want to be long the Dow at this time. If I am taken short I will have a T/P level at 36260.

December NASDAQ

Finally, the NASDAQ saw some profit-taking yesterday, enabling me to cover my 16260 average short position at 16240 and I am now flat. Incredibly, the NDX closed lower for the second consecutive trading session!!!! The NDX has resistance from 16260/16350 where I will again be a seller with a 16475 wider ‘’Closing Stop’’. If I am taken short I will have a T/P level at 16200.

December BUND

The Bund rose yesterday, trading the whole of my sell range for a now 171.05 average short position. I will now raise my T/P level on this position to 170.80 while leaving my 171.65 stop unchanged.

Gold Rolling Contract

Gold just missed my 1810 buy level and I am still flat as the market closed over its 30- month trendline for the second consecutive trading session. I will not chase Gold higher, leaving my 1795/1810 buy level unchanged with the same 1783 stop. If I am taken long I will have a T/P level at 1816.

Silver Rolling Contract

I am still flat. I will now raise my buy level to 23.45/24.05 with a tighter 22.95 stop. If I am taken long I will have a T/P level at 24.35.

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

Hi Everyone

Even a much higher than expected 6.2% print in CPI cannot ruffle either the Stock Market or the Bond Market which  have just shrugged off this highest  Inflation print since 1990
However precious metals have  surged, led by the 4.5% rally in Silver. Thankfully, Silver did hit my 24.05 buy level before rallying to my 24.35 T/P level and I am now flat
Earlier the Euro traded lower to my 1.1535 buy level before rallying to my 1.1570 T/P level and I am also flat.
The DAX opened lower, enabling  me to exit my 15975 short position for a small loss at 15996 and I am now flat.
I will now raise my T/P level on my 171.05 short Bund position to 170.90
Kind Regards
Bryan
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