Global equities were broadly flat-to-lower ahead of the second day of the FOMC’s policy meeting, where the Fed is expected to leave interest rates unchanged at 0.25-0.5%. As ever, there’ll be much interest in the bank’s statement for what it indicates for future decisions. Other factors affecting prices this morning include mixed earnings reports in Japan, Europe and the U.S., with those from Apple (AAPL) particularly hurting the relevant stocks.
In Asia, Japan -0.4% to 17290. Hong Kong -0.4% to 21331. China -0.4% to 9608. India +0.2% to 26052.
In Europe, at midday, London -0.3%. Paris +0.1%. Frankfurt +0.3%.
Futures at 6:20, Dow -0.25%. S&P -0.3%. Nasdaq -1.1%. Crude +1.9% to $44.87. Gold +0.3% to $1246.75.
Ten-year Treasury Yield -0.025 bps to 1.91
(Source: Seeking Alpha)
8:30 International trade in goods
10:00 Pending Home Sales
10:30 EIA Petroleum Inventories
2:00 PM FOMC Announcement
HOD Range Projection = 2095.63; LOD Range Projection = 2072.12; CD1 Maximum Penetration Level = 2100.54; CD1 Maximum Violation Level = 2066.98; Cycle Day 1 Low = 2075.00; 3 Day Central Pivot = 2083.50; 3 Day Cycle Target = 2108.96 10 Day Average True Range = 14.88.
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: June (M) Contract
*****The levels outlined below are more general framework within a larger range…They are to be used are reference prices from which to consider trade opportunities, not hard trade levels.
Scenario 1: IF price clears and converts 2091.50 SPOT, THEN range expansion can unfold targeting 2095.63, followed by 2100.54.
Scenario 2: IF price violates 2079.50 would be first SOW targeting 2072.12, followed by 2068.86 – 2066.98 zone.
Trade Strategy: Our tactical trade strategy will simply remain unaltered…We’ll be flexible to trade both long and short side from Decision Pivot Levels. Continue to focus on Bull/Bear Stackers and Premium/Discounts. As always, remaining in alignment with dominant intra-day force increases probabilities of producing winning trades.
Stay Focused…Non-Biased…Disciplined ALWAYS USE STOPS!
“Knowing is not enough, We must APPLY. Willing is not enough, We must DO.” –Bruce Lee
*****This trade strategy report is disseminated for “education only” and should not be viewed in any way as a recommendation to buy or sell futures products.”
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS