Outlook 03/22: Wednesday was highlighted by the Federal Reserve's FOMC statement and press conference. Among other things, the Fed Chair Jerome Powell said that an escalation of trade tensions around the U.S.'s tariff policy could cause the economy to slow down and force the Fed to reassess its economic outlook. Today, we already have reports that President Donald Trump will announce $50 billion in new tariffs against China. U.S. stock market futures are already selling off.
/ESM8 Value: YVAH 2730 YPOC 2718 YVAL 2715
/ES Plan: Yesterday market closed bearish and overnight shows a bimodal profile (LIS 2695) moving below Yesterday's range, so today's options are:
A) If market remains below LIS 2695 with bearish internals, become a seller leaning on 2695-94 towards PBT 2678 GBT 2673 and LVN 2660. 'Look above and fail' is a signal of weakness.
B) If market starts to move above LIS 2695 with bullish internals, try to be a buyer leaning on 2695 towards LVN 2703 and YVAL 2715. 'Look below and fail' is a signal of strength.
Tips: Consider the habits of the product you trade, such as '10 Handle Rule' 'Value Area Rule' and 'One Tick Failure'. More on Glossary.
Today's Economic Calendar
09:45 PMI Composite Flash
09:45 Bloomberg Consumer Comfort Index
10:00 Leading Indicators
10:30 EIA Natural Gas Inventory
11:00 Kansas City Fed Mfg Survey
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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