Outlook 01/30: Nasdaq futures led U.S. indexes overnight, rising as much as 1%, after Apple results sent relief waves through the markets. Investors are now looking to the outcome of the Fed's rate review later in the session, amid heightened expectations policymakers will reinforce their dovish stance and hold off on hikes for at least the next few meetings. The spotlight is also on Chair Jerome Powell and whether he has any inclination to slow the drawdown of the Fed's balance sheet.
/ESH19 Value: YVAH 2644 YPOC 2639 YVAL 2635 GAP 2641
/ES Plan: Yesterday market closed balanced but overnight looks more bullish, moving above previous range, so we've these options:
A) If market remains above YHOD 2650 with bullish internals, buy towards ONH 2655.25 GAP 2663.25 and HVE 2684.
B) If market starts to move below 2650 with bearish internals, sell towards GAP 2641 ONL 2636.25 and HVE 2620.
Tips: It’s best to treat FOMC days as two separate sessions. Trade setups that work well in the morning session may fail completely in the afternoon session. Here is a simple strategy for trading FOMC.
Today's Economic Calendar
10:00 Pending Home Sales
10:00 State Street Investor Confidence Index
10:30 EIA Petroleum Inventories
02:00 PM FOMC Announcement
02:00 PM Chairman Press Conference
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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