From the desk of Joe Rios
Most of the risk assets continued to trade in tight ranges with the S&P 500 finishing the week at 0.0% change. The velocity leaders continue to be the independents with grains outperforming led by Corn gaining 1.6% and Soybeans 1.1%. To the downside Coffee futures lost -9% and Natural Gas dipped 3%.
Gold also continued to trade range bound with the exception of one bearish day. Not surprising, the last two days of the trade week, the chart pattern illustrates two consecutive spinning top formations based on Japanese candlesticks which represent indecisiveness.
We did see action in the currency market with the US dollar reversing a prolonged bearish technical formation. Was it short covering? Or a shift in the underlying fundamentals? What’s next in the Forex market? I would look to the bond market for clues. The US 10 Near Notes finished the week at resistance. Interest rate yields have flirted with the year’s low below 2.6% but based on last week’s US Dollar price action, don’t be surprised to see the interest rate yield bounce. I will continue to focus on correlations to identify rotation flows, specifically between the US Dollar and the US 10 Year Notes. I will also continue to pay attention to the range bound markets and apply the RQ Channel 7 to pinpoint potential breakpoints for aggressive price action which should lead to trading opportunities. Take special note of this week’s scheduled economic data releases, especially from China as they may help trigger aggressive price action in the week ahead.
Joe Rios
Chief Market Strategist
Live Rooms and Events
Please take note of this week’s schedule at a glance including key economic reports that might have an impact on the markets. Live trading rooms and educational events are also listed with the appropriate links for gaining access. While some of the events are free, others are for members only. Let us know if you have an interest and we will provide you with all the pertinent information.
Contact Information for your Support Needs:
Amber Little, RQ Client Relations Manager
email: amber@riosquant.com
skype: alittlemobile
cellphone: 415.336.7272
Live Trading Rooms and Events:
The Trading Room TradeLAB
Global Trading with Quantitative Technologies
Monday through Friday beginning at 7:30 AM ET
https://www3.gotomeeting.com/register/756229982
RQ trade coaches include Edward Preston, Steve Schwartz and Joe Rios. Live demonstration of our pre-market quantitative analysis, real-time trading signals with RQ algorithmic technology, strategy performance review and Q&A session.
Insider’s Quant (IQ) Room – Advanced Concepts with Joe Rios
Monday, Wednesday and Thursday beginning at 1:30 PM ET
Subscription Only!
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The Trading Room EDU – Educational Workshop
Covering the Rios Quant Trading Indicators:
Tuesday beginning at 4:30 PM ET
https://www3.gotomeeting.com/register/114841990
Topic: What it takes to be a Momentum Trader
Presenter: Steve Schwartz
Wednesday beginning at 7:30 PM ET
https://www3.gotomeeting.com/register/968000694
Topic: The Next Big Swing
Presenter: Edward Preston
Saturday beginning at 10:30 AM ET
https://www3.gotomeeting.com/register/191104822
Topic: Auto-trading with RQ-Einstein
Presenter: Steve Schwartz
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The RiosQuant 90 Day Trading Program – Workshop
Thursday beginning at 7:00 PM ET
https://www3.gotomeeting.com/register/144619742
Training Session 6 of 12 with Steve Schwartz
Topic: Identifying Reversal and Continuation Patterns
MONDAY
Economic Data Release – Market Movers
USD – FOMC Member Plosser Speaks – 12:00 PM ET
USD – Federal Budget Balance – 2:00 PM ET
TUESDAY
Economic Data Release – Market Movers
CNY – Industrial Production – 1:30 AM ET
EUR – German ZEW Economic Sentiment – 5:00 AM ET
AUD – Annual Budget Release – Tentative
USD – Retail Sales – 8:30 AM ET
NZD – RBNZ Financial Stability Report and
Gov. Wheeler Speaks – 5:00 PM ET
NZD – Retail Sales – 6:45 PM ET
WEDNESDAY
Economic Data Release – Market Movers
GBP – Unemployment Rate and Claimant
Count Change– 4:30 AM ET
GBP – BOE Inflation Report and Gov. Carney Speaks – 5:30 AM ET
USD – PPI – 8:30 AM ET
USD – Crude Oil Inventories – 10:30 AM ET
NZD – Annual Budget Release – 10:00 PM ET
THURSDAY
Economic Data Release – Market Movers
JPY – BOJ Gov. Kuroda Speaks – 12:25 AM ET
CAD – Manufacturing Sales – 8:30 AM ET
USD – Core CPI and Unemployment Claims – 8:30 AM ET
USD – Philly Fed Manufacturing Index – 10:00 AM ET
USD – Natural Gas Storage – 10:30 AM ET
USD – Fed Chair Yellen Speaks – 7:00 PM ET
FRIDAY
Economic Data Release – Market Movers
USD – Building Permits and Housing Starts – 8:30 AM ET
USD – Preliminary Uom Consumer Sentiment – 9:55 AM ET
