Wednesday, November 4, 2009

Fed Day

Well lets see whats going to happen today. The market is still right in the middle of 2 important ranges - key support at 1012 ES and key resistance anywhere from 1064 towards 1069-1072.

Based on how the market is setting up I would dare to say we see the upper resistance ranges before seeing the lower range. We also have 1052 on ES to deal with but it is my feel that this will only provide short term intraday resistance.

As I am writing this futures are up around 5 points (I went short at 1048.75 for a scalp in the early morning hours). My EURUSD position is doing quite nicely and depending on feds today we should see quite a strong move in currencies as the FED decisions will have a direct impact on the USD - I feel the impact on USD will be even stronger then the effect on equity markets.

As we are in nowhere land market wise it is difficult to engage into any position unless its a short term trade between 2 levels. I am looking for a GAP close at least in the morning hours (where I will cover my short).


  1. if the market is opening at this level I do not expect a GAP close but a potential for a stepping day into fed decision. So be careful on the short side. Probabilities call for prices to move higher in the first hour of open.

  2. closed my EURUSD long position. Some nice gains on there. I still feel EURUSD has more upside but rather lock in those gains.

  3. biggest bull trap ever?

  4. holy crap I was away since 3:30 thinking this would be another non-event and wow