Daily Market Review 24/08/2012 US Opening

Binary stock market indexes continued heading downwards in the European session today after yesterday’s sharp decline, that was caused by disappointing unemployment claims in the US, which were 8K above expectations. On the bull side New Home Sales rose by 9K above predictions and were 13K above their previous month’s reading. Currently the S&P500 is trading just a dollar below its yesterday low, which was formed at the psychological level of 1400. Today we are looking at the Core Durable Goods Orders indicator (on monthly basis), which worryingly is almost a whole percent below expectations at -0.4% versus the anticipated rise of 0.5%. The indicator measures the change in the total value of new purchase orders placed with manufacturers for durable goods, excluding transportation item. Another reason for the global binary indexes tumbling in the recent sessions is that market analysts don’t see enough progress in solving the Eurozone debt crisis. The indexes measuring Europe’s biggest economies – DAX30 and CAC40, fell more noticeably yesterday, since the European debt turmoil concerns them directly. Both indexes erased their mid-August rise and are currently trading at 6900 and 3402 respectively, where the prices were in the first third of the month. Crude oil fell sharply yesterday after the bulls yesterday were not able to push prices above the 98$ barrier. Gold is keeping its solid bull trend intact, and although it is still below yesterday’s extreme at 1675 it is still a solid buy, that gives a green light for all binary bulls willing to buy call and touch up options.

Source: [You must be registered and logged in to see this link.]

Latest on this: With some of Wall Street's more volatile names set to report in the next couple of days, traders who bet on big swings in shares are hoping to see moves more like Facebook than Netflix. For volatility investors, the direction of the move is not important, just the magnitude.