Wednesday, March 03, 2010
Morning Briefing for March 3rd: More Range Trade
10:41 AM CT - I've added the top chart to illustrate the breakout from the morning range, supported by solid upmoves across a variety of risk assets: commodities, euro and Aussie dollar vs. USD. Treasury rates are higher as well. The earlier mentioned strength in the indicators is continuing today, as we retrace the declines from the January highs.
We've had a fair amount of news this morning, from Greece's debt plan to employment reports, but note how we've traded within a relatively narrow range thus far this morning. I've talked with a number of traders who have overtraded the recent low volatility market. The relatively flat volume-weighted average price is telling us, thus far, that today's market is in a range-bound, low volatility mode. I'll update the view later this morning.