Market expecting rate cut from ECB as Europe muddle through recession.

US stock market rallied as it was Tuesday and ECB carried out another fine Tuning operation. In last three trading days, Dow Jones Industrial Average (DJIA)  is up 488 point (3.9%), S&P500 is up 59 (4.5%) point and Nasdaq is up 154 point (5.5%). For the month, Dow Jones Industrial Average (DJIA)  is up 842 point (6.96%), S&P500 is up 95 (7.5%) point and Nasdaq is up 216 point (7.82%). Vix has been down and stocks like UVXY, TVIX are down 63% and VXX is down 36% for the month. Focus will shift on ECB rate cut decision at 7.45 am EST. On a rate cut, market is expected to open higher, no rate cut will lead to sell off but it will stabilise as focus will shift to tomorrow's non farm payroll. If non farm payroll shows, weak number below 100k, then there could be sell off. Watch out movement in GLD, and SLV, AGQ for next couple of days.

Trading Strategy for Jul 5th:

For Bullish sentiment to continue: Dow needs to break 12979, while S&P500 needs to break 1377. 

For Bearish sentiment to continue:  Dow needs to break 12869, while S&P500 needs to break 1368.

Dow expected to open lower. For bullish sentiment to continue, Dow needs to break 12979 and for bearish sentiment to continue, Dow needs to break 12,869

S&P500 is expected to open lower. For bullish sentiment to continue, S&P500 needs to break  1377,  for bearish sentiment, S&P500 needs to break 1368.

After Hours Gainer:

VFC	VF Corp.	140.25	+8.93	+6.80%	400
CHTP	Chelsea Therapeutics I ...	0.90	+0.03	+4.03%	1,200
NSPH	Nanosphere Inc.	3.07	+0.09	+3.02%	2,300
OSUR	OraSure Technologies Inc.	12.45	+0.35	+2.89%	2,250
SLW	Silver Wheaton Corp.	29.06	+0.65	+2.29%	100
DNDN	Dendreon Corp.	7.43	+0.12	+1.64%	200

After Hours Loser:

DARA	DARA Biosciences Inc.	0.66	-0.08	-10.81%	2,000
CVI	CVR Energy Inc.	26.27	-1.22	-4.44%	100
IP	International Paper Co.	28.76	-0.81	-2.74%	450
CIM	Chimera Investment Corp.	2.35	-0.05	-2.08%	7,700

Stocks for Day trading: UVXY, XIV, SVXY, TVIX, GLD, TZA, FAS, FAZ, GMCR, NOK, PCX, WLT, ACI, HAL, MT, X, FSLR, TPX, RVBD

Stocks for Option Trading: CAT, XOM, SPY, QQQ, IBM, PCLN, AAPl, WLT, PCX, GOOG, MT.

Upcoming FDA approval  : SLXP on July 5th. 

Earning Before Market open

	SYMBOL	COMPANY	EVENT TITLE	EPS ESTIMATE	EPS ACTUAL	PREV. YEAR ACTUAL	DATE/TIME (ET)
	ISCA	International Speedway Corp	Q2 2012 International Speedway Corporation Earnings Release	$ 0.40	n/a	$ 0.26	5-Jul BMO

Today´s Highlighted Dividends

	SYMBOL	COMPANY	AMOUNT	EX-DATE	PAYABLE	RECORD	DECLARATION
	MA	MasterCard Inc	$0.300	5-Jul	9-Aug	9-Jul	5-Jun
	CPB	Campbell Soup Co	$0.290	5-Jul	30-Jul	9-Jul	27-Jun
	MKC	McCormick & Company Inc	$0.310	5-Jul	23-Jul	9-Jul	26-Jun

Economic calendar:

TIME (ET)	REPORT	PERIOD	ACTUAL	FORECAST	PREVIOUS

8:15 am	ADP employment	June		--	133,000
8:30 am	Weekly jobless claims	6-30		386,000	386,000
10 am	ISM nonmanufacturing	June		52.9	53.7

Today's Event (EST): 

TIME (ET)	REPORT		ACTUAL	PREVIOUS

6 a.m.	Bank Negara Malaysia decision			3%
7 a.m.	Bank of England rate decision			0.5%
7 a.m.	Bank of England asset-buy target			GBP325 bln
7:45 a.m.	European Central Bank decision			1%
8:30 a.m.	ECB press conference