Fed released their Policy Statement and S&P reacted with no fewer than three 10-handle plus moves down, up and down within the Session. Buying Dips and Selling Rips at extremes was the call of the day as we posted in yesterday’s trade strategy blog.

Overnight trade has price +13 handles trading near PDH 1694.00. Penetration and hold of this level calls for a move to 1700 – 05 zone. Failure to breakout could keep price rangebound trading back down to 1684.00 3D Central Pivot. This is exactly the type of trade action one is to expect in a “bracketed” market. Violation of 1680.25 has potential for forced long liquidation, though that scenario appears unlikely, it’s best  be aware of possibility.

Good Trading…David

Habitude Seven
I take the long term view. I am willing to lose in the short term. I understand that losses are a necessary cost of doing business, like inventory to a merchant. Drawdowns are viewed as temporary. I realize that my wins and winning periods are part of the broad process. Each trade is but one in a string of trades. What is happening now is one piece of a much larger puzzle. Because of this I do not get overly euphoric or despondent.