Today is, of course, a Fed day, which means that precisely at high noon (plus two hours), Jerome Powell will emerge from his pod and fight a dramatic Duel to the Death with the financial press corps, armed with only his notes and a Browning .50 caliber heavy machine gun. (He keeps that hidden in the podium most of the time.) Everyone is expecting the Fed to keep rates steady -- but they're also expecting the Fed to provide lots of Happy Talk about how things are going swimmingly and thus hint at rate cuts coming down the line.
If this Happy Talk doesn't happen, then keep an eye out for the .50 cal.
Chart-wise, it's still a case where nothing of any technical significance has happened since Friday's update, but don't worry, I'm not going to publish more bunny pictures today. That was a one-time thing (unless I decide to use that joke again in the future, in which case... anyway, no promises). Despite SPX remaining range bound, I am able to provide some potential target zones (one of them being the same zone I mentioned on the forum on Monday):
Keep in mind that in the event SPX is done correcting, then Target 3 would be "a retest of the all-time highs, plus/minus."
INDU is still not entirely playing along with the bear ideas, which continues to make me feel like at least some degree of bear caution is called for:
Of note, COMPQ did make a slight new low yesterday, which makes it look a bit more like maybe it will want another wave down after this bounce, so it and INDU still feel like they may not be on the exact same page, with SPX somewhere in the middle. Not much to add beyond that. Trade safe.
No comments:
Post a Comment