As evidenced by today’s intraday price action, you’d think the market either had schizophrenia or was potentially bi-polar. Once the decision to hold interest rates unchanged at 2%, the market swung sharply four times before settling down for the close. Was there any chance of profit in this volatilty? Let’s look. The NASDAQ QQQQ ETF:…
Today’s decision will be more about tone than action – about words than a policy decision. The Fed is expected to keep overnight rates locked at 2%, though some may begin to discuss the threat of inflation on the economy, and may be trying to “jawbone” or threaten action if inflation numbers continue to be…
Although it’s not discussed extensive, the Yield Curve has now normalized to levels that have historically preceded large bullish moves for the overall market. The last time this pattern occurred was in 2003. Bill Luby at VIX and More recently identified this pattern as well with a good, brief analysis in his post “The Yield…
How did you do on today’s Fed day? Days like this can remind us why volatile conditions can either be very rewarding or very draining for your account. Let’s see what happened and where the dust settled: On the intraday chart of the DIA, the Fed announcement (they cut .25 to 2.00%, as expected) came…