08:10am   After a 60-mile cycle ride yesterday I am having a lazy day at home today, so no doubt I will be watching some charts at some stage – any trades will be reported here through the day.

Market Update:

The markets today are mainly about the U.S. ADP Employment numbers which give an indication about the Non Farm Payrolls on Friday and also the ISM Non-Manufacturing PMI and the country’s trade balance.. All this data is particularly interesting at the moment as it gives a good barometer reading about the economy which in turn will give traders a clue as to when Janet Yellen is going increase the base rate. ADP is a U.S. Payroll Services company and they use data from their own customers to compile their monthly round-up and their ADP Non Farm Employment Change report has been modified over the past few years to give traders and investors an early idea of what to expect from the more important Non Farm Payrolls announcement that is released (usually) on the first Friday of the month.  The ISM Non-Manufacturing PMI data is compiled from data received from purchasing managers and buyers in industry and gives a good idea of the overall health of the economy.

Looking at my S&P daily chart of the top 500 companies in the United States this morning shows a marked reluctance to move much higher and is now heading towards the 200 period moving average – a level the price bounced off a month ago and the data released this week is going confirm whether the direction is going to turn bearish. Yesterday’s comments by Fed member Dennis Lockhart with regard to an early rate rise didn’t help the market either – he believes the economy is ready now and will withstand an increase in the minimum lending rate.

Trading Diary:

08:55am   There may be a ‘short’ UTB trade coming up shortly on my Brent Crude chart – just watching to see if the price goes lower on the next candle.

09:10am   The Brent Crude price has fallen sufficiently to trigger a ‘short’ position and I am now in a trade with a 19 pip stop loss.

10:30am   Came out of my Brent position a few minutes ago – it has ended with a quick +35 pip profit.

13:55pm    Unexpected invitation to Clay Pigeon shooting up the road so no more trading for me today.