EQUITIES: EU Cash Opening Calls

In Case missed Overnight via CME traded Option and following the Australian CPI coming above expectations. This trade does cover the November RBA meeting but not the December one

• AUDUSD (5th Dec) 67.5c, bought for 0.18 and 0.20 in ~5.3k.

This Option is now 0.20/0.22 and the underlying is close to the spot at 66.185.

• Norwegian retail sales momentum is softening, but remains positive. Norges Bank will likely retain its cautious guidance at next week’s decision (alongside holding the deposit rate at 4.00%),  but risks over the next 12 months appear tilted in favour of more easing than implied by the September MPR rate path.
• SA retail sales (ex autos) fell 0.5% M/M in September, weaker than the three analyst estimates ranging between -0.3% and 0.1%. August’s reading was also revised down a tenth to 0.1%.  3M/3M momentum nonetheless remains positive at 0.7% (vs 0.8% prior).
• Sales excluding autos and fuel fell 0.2% M/M (vs +0.3% prior), with 3M/3M momentum easing to 0.7%  (vs 1.0% prior) and a YTD high of 1.7%.
• We were expecting to receive monthly data on household goods consumption this morning (which would have provided signals for next month’s Q3 GDP report), but Statistics Norway has said that the  data has been “postponed indefinitely”

• RES 4: 6993.12 3.500 proj of the Aug 20 - 28 - Sep 2 price swing
• RES 3: 6974.04 3.382 proj of the Aug 20 - 28 - Sep 2 price swing 
• RES 2: 6953.25 2.000 proj of the Aug 1 - 15 - 20 price swing
• RES 1: 6944.75 High Oct 28
• PRICE: 6941.25 @ 07:25 GMT Oct 29
• SUP 1: 6812.25/6765.36 High Oct 9 / 20-day EMA
• SUP 2: 6666.16 50-day EMA 
• SUP 3: 6540.25 Low Oct 10 and a key short-term support 
• SUP 4: 6506.50 Low Sep 5

The trend condition in S&P E-Minis remains bullish and price has traded higher this week. The fresh cycle high confirms a resumption of the primary uptrend and maintains the bullish price sequence of higher highs and higher lows. The 6900.00 handle has been cleared, opening 6953.25 next, a Fibonacci projection. Initial firm support to watch lies at 6748.48, the 20-day EMA.