The Quiet Before The Storm

Don’t expect much excitement on the equities front today. The Fed meeting starts today and until we get the final verdict on rising interest rates tomorrow things are going to circle in a holding pattern.

The long positions I placed on Monday are looking pretty good now and thus I am afforded sufficient buffer space to weather out a few obligatory volatility swings during the announcement tomorrow. I’m actually moving my stop to ES 1960 now – a few handles above b/e – just in case things get ugly tomorrow (and they may!).

Futures are pretty much dead right now – I only see Forex plays and even here the pickings are slim today as I’m trying to stay out of USD related crosses. EUR/CAD did close above that BB and I’m already long. May be a bit late for you guys judging by the current candle. But definitely grab it on a retest lower.

CHF/JPY – also long here but with a very respectable stop below 123. Possible floor formation on the daily chart which however does not exclude more whipsaw before it takes off.

That’s all I got for now. I should caution you against trying to play the swings today and tomorrow – unless you’re an ice cold pro you will most likely get taken to the cleaners. There’s nothing wrong with waiting for further instructions. The right time to get on board was Monday and perhaps yesterday. Chasing the tape and picking directions at this crucial inflection point has very low odds of success – unless you’re already positioned keep your powder dry and wait until after the Yellen has delivered her speech.

The future is now – so don’t bring a knife to a raygun fight. If you are interested in becoming a Zero subscriber then don’t waste time and sign up here. A Zero subscription comes with full access to all Gold posts, so you actually get double the bang for your buck.

Cheers,