Futures down

Well seem like the rate cuts yesterday didn't have a push for the bulls. The futures are currently down 200 points before the open and numbers out that consumer spending is at a 15 month low. I will be buying this gap down for at least a bounce and see what pans out. As said before we are 100% definitely in a bear market and as can be seen in yesterday's action all upside moves are being sold into.
Don't let your 401K turn into a 201 K. play the short side or stay in cash.

FOMC- FED announcement today

Tuesday as expected was a narrow range day, although it had a slight bullish tone to it. A gap up tried to fade but found support quickly and we chopped throughout the day. I would expect more of the same for today up until the FOMC announcement at 2:15 p.m. We usually don’t trend much before the Fed decision as traders sit on the sidelines. When the announcement comes it usually sets us up for a nice fade off the initial spike and then a possible trend into the close either way depending on the reaction to the report. This is certainly a key meeting so I would look for a lot of volatility surrounding the announcement and a good chance we trend following the spike.

As far as the charts are concerned, we still look higher in my opinion, as we still haven’t moved off last week’s reversal pattern, but the Fed will take center stage and precedent over the charts. If they give us good news we could blow up over the next few days, if not, we could see new lows. Let’s stay on the sidelines until the report comes out and then look for our setups .We will re-evaluate after today. Good Trading and we will talk to you on Thursday.

GROUP CHAT-Please email

This is a repeat post as to the interest in forming a group chat.


I have gotten request from some readers on my opinion on various sectors such as FOREX, commodities, stocks etc. There is no way I can write on all these topics daily but would gladly accommodate anyone who wants to ask questions on the markets if I can.
I would like to therefore know from readers if they would be interested in the set up of a GROUP forum, so questions can be asked and discussed with more accuracy. This way i could chart your questions and give my technical analysis from what i see on the charts.

All those who are interested please email marketjedi@gmail.com and I will set up a group forum if I have enough people interested.


MARKETJEDI.

Tuesday

Futures are currently up meaning we should get some follow through of yesterday's upside. I am looking for us today to consolidate some of the move of yesterday and friday and with the FOMC looming tomorrow I do expect traders to slowdown on volume.
I think we still have an upside bias into the FOMC meeting and maybe for the week but then i do see the upside limited afterwards. What I would be doing here if I am long is looking to sell into this uptrend and always look for some short positions once we get into the resistance area around 1396-1406 area. We will see soon enough if we are right but I will be playing it as such for the moment based on what i see now.

Nice when you are right!!

Market played out exactly as how I said it would today, early weakness was definitely a buying opportunity. The S&P closed at its highs and I would expect a slight upward bias till we have our 2:10 PM announcement Wednesday from the FED. John Deere was so sweet today from our mention this morning and Mastercard I still believe will get going too. Mastercard got hit this morning on the news of the VISA ipo might be delayed.
The solar stock, brokers, gambling and some tech stock were on good solid ground today. One negative I have today is the lack of relative strength from the Nasdaq. This ,ust be watched tomorrow and wednesday after the announcement as the are the leaders of the market.
I am presently in bounce mode in my gameplan and i expect us to get some resistance in the 1396-1426 #'s on the S&P.

Start of Week

Well this week is the FED meeting and we should get a possible .25% or .50% rate cut. With that said I do expect an upward bias this week in the market although I hear Cramer saying the market is going to go down this week. I think the reversal candle of last week is in place and we should bounce. If we do bounce i would be looking at the same stocks mentioned last week with the addition of DE (John Deere) and MA (Mastercard) which i see having a $10 gain to the upside from the charts.
GOLD!!! Everyone seem to be a gold bull right now and I am going to go out on a limb here as usual and say Gold is very near a TOP. Gold has been been on a massive run and I personally thing it could pull back significantly.
This morning we are gapping down and i willing to buy at support levels 1315-1320 on the S&P and see if we get a bounce. If we do have a bounce this week we could test the 1400 level which would be a good bounce. I am nowhere a bull but a trader and I think we are in mode to bounce at these levels.

GROUP CHAT

I have gotten request from some readers on my opinion on various sectors such as FOREX, commodities, stocks etc. There is no way I can write on all these topics daily but would gladly accommodate anyone who wants to ask questions on the markets if I can.
I would like to therefore know from readers if they would be interested in the set up of a GROUP forum, so questions can be asked and discussed with more accuracy. This way i could chart your questions and give my technical analysis from what i see on the charts.

All those who are interested please email marketjedi@gmail.com and I will set up a group forum if I have enough people interested.


MARKETJEDI.