Good morning and welcome to episode 474 of ‘Talking Bull’. In this video/podcast we cover the main headlines and what to expect from the day ahead.
We take a technical look at key markets that are likely to be impacted by today’s events. Also, we participate in a ‘Gun to the head’ challenge where each of us calls a live trade. These will expire at 9pm tonight and we will keep track of the progress over time.
We hope you enjoy it!
We have included an illustration based on a £1000 account. This will follow the combined return of our morning trades by risking 1% of the trading capital per trade. The 1% risk is a variable monetary amount and will rise and fall based on the success of the calls.
We are currently up 93.72% collectively since we began recording Talking Bull on the 30th October 2019.
Another bearish session for Asian markets overnight, with markets feeding off the negativity set in the US yesterday.
Widespread outages across a number of US tech platforms sparked a tech-led selloff that saw Facebook suffer their biggest one-day loss since November 2020.
This builds on the ongoing fears that growth stocks will typically underperform in an environment of tightening monetary policy.
Australian losses were somewhat lessened by a dovish assessment from the RBA overnight. Despite warning on house prices, they left rates unchanged and see no reason to do so until 2024.
Looking ahead, watch out for a host of European and US services PMI surveys, followed by the US trade balance figure.
8.50am – 9.30am – French, German, eurozone, UK PMIs (September, final). Markets to watch: eurozone indices, EUR crosses, GBP crosses
1.30pm – US trade balance (August): deficit to narrow to $69.6 billion. Markets to watch: USD crosses
3pm – US ISM non-mfg PMI (September): expected to fall to 61.3. Markets to watch: USD crosses
Source: IG Morning Call
Gun to head challenge – Update
Today’s trade idea
Steve selling Dax at 15028.5 with a stop at 15126.8 and targeting 14733.4