10th, Daily Report

The session today is expected to be strongly bullish in the opening, thanks mainly to the trade balance results in Japan showing a success in the monetary policy. In Europe there is no relevant economic data except for the Italian debt auction. Another aspect that encourages the improvement of European shares is the confidence that is giving the lower premium risk.

The U.S. market was slightly bearish yesterday after certain rumors which said the FED could stop the QE incentives. Being the market operated by the central bank causes that any word or rumor moves it up or down with great force. Even so, the fall was not all that strong. The worst was the SP which lost 0.4% while the Dow and NASDAQ fell 0.1% and 0.2%. Today, Bernanke's words will mark the way for this last session of the week, which will be initially induced by the positive Japanese behavior and the appreciation of USDJPY.

In Europe, there was a slightly brake of bullish optimism after the sessions we were coming, and the market finished mixed. This fact doesn't look important, it just seems a temporary drop. The Spanish debt auction was not entirely positive as in previous sessions and the profitabilities are not as juicy as before because the demand is slowing. The best was the DAX with a rise of 0.2% and the worst was the MIB with a fall of 1%.

In Asia, the effect of the trade balance results in Japan (after ultra expansionary monetary policy) strongly encourages its index, which in today's session is up 2.7%, and the NIKKEI takes an annual return of 40.7%. The fall in profitability of the Japanese bonds generates that these money go to shares.

For this session I continue with a bullish view as well as for the medium and long term, but we must be aware of the meeting this weekend for next week G7.




INDICES:


S&P 500

After another visit to highs yesterday, the rise of the american index is seemingly limitless. The average of 50 sessions was almost parallel to the asset price, which do not lead me to think that it could develop important corrections. RSI neutral.

Dax 30

Maximum after maximum, this is how the index grows during these days. But we must be aware if it loses the average of 50 sessions, as the German index has a strength that can be degraded by volatile macro data today. The oscillators do not differ with the price.

Ibex 35

The Ibex 35 continues at above the daily average of 50 sessions, support for this time range. Strong progress in opening today but then it began to experience corrections. If it resists today in above these levels of monthly highs, the Spanish index seems to be also bullish for next week.