MidSession Review: Waiting to measure US temperature

As we hypothesize in the Morning Meeting European shares opened higher in Europe, bolstered by Chinese data, results from British Sky Broadcasting Group Plc and Lloyds Banking Group Plc added steam to move.

Shares of British Sky Broadcasting Group PLC  rose 3.7%. The TV broadcaster said it made a strong start to the year, but continues to see a challenging consumer environment in the U.K. and Ireland. Shares of Lloyds Banking Group PLC   picked up 3.6%, after a well-received earnings report from the bank.

At midday the Stoxx50 traded 0.52% higher to 2,516.72, the German Dax rose to 7,300.52 or 0.55% higher, in Southern Europe the Italian Ftsemib inched higher 0.37% to 15,596.59 while the Spanish Ibex struggled to keep the flat line trading at 7,844 or 0.01% higher.

Concerns over Greece ability to be kept afloat and over Spain willingness to ask for a bailout weighted on Southern European markets,   according to John Lipsky, the International Monetary Fund's former first deputy managing director, efforts to rescue Greece have failed to provide basic reforms needed to bring competitiveness back to its economy. Bloomberg reported. Lipsky said referring to Greece competitiveness, that if will not be restored

..there will be no successful solution for the Greek economy, one way or another.

The report crushed the front page of major financial newspapers as Europe is pressuring Greece to step up efforts to rein its deficit and deregulate the economy.

Lipsky words weighted on the common currency which was able to regain the flat line later in the morning trading flat versus the greenback at 1.2962$ or 0.02% higher. The dollar gained 0.33% versus the yen to 80.03 , approaching a four month high of 80.38 hit last week. The China-sensitive Australian dollar steadied around $1.0366.

The dollar move was unable to offset Crude oil gains sparkled by the Chinese data, light-sweet crude oil futures for December delivery rose 0.15% to $86.36 a barrel. Expectations of an increase in seasonal demand from India, sent Gold price higher to 1,726.50$ an ounce extending the gain from regular trading on Comex.

For what it may concern our daily game plan we kept our short stance and the market is flirting with our first resistance, the question is do we hold, do we close the position?  As pros we never let a winning position to become a losing one therefore our maximum risk at the moment are the commissions. It's now time to get ready for today's US macros watch out.

Originally posted at www.77sigmatrading.com