In spite of all the noise about dropping, long term we are really just settling back into where we should have been all along. The drop at the beginning of the pandemic should have not been followed with such a massive surge upward. Major down caused a major up... and we are now just settling back into the normal range.
That being said, in terms of today, I see NO direction after the FOMC announcement. Careful on taking a long position up or down. From the announcement at 14:00 to 16:00 there was only about a 10-point increase. Everything else was just noise, and noise causes people to get into bad positions. Remember your risk management, as I suspect some of this sell off is margin calls from traders getting caught in the 4100 drop that brought us here. There has been zero confirmation on any uptrend (or downtrend) post the rate hike.
Trade safely! My positions will continue to be intraday trades, of reverse trading short term trends (5m mostly) against the long term trends (1 hour trend).
While writing this, the 1D and 4H trends are still down trending, the 1H made a uptrend signal but then reversed backwards. I expect long term battling for the rest of the week.
(This is not official financial advise)
That being said, in terms of today, I see NO direction after the FOMC announcement. Careful on taking a long position up or down. From the announcement at 14:00 to 16:00 there was only about a 10-point increase. Everything else was just noise, and noise causes people to get into bad positions. Remember your risk management, as I suspect some of this sell off is margin calls from traders getting caught in the 4100 drop that brought us here. There has been zero confirmation on any uptrend (or downtrend) post the rate hike.
Trade safely! My positions will continue to be intraday trades, of reverse trading short term trends (5m mostly) against the long term trends (1 hour trend).
While writing this, the 1D and 4H trends are still down trending, the 1H made a uptrend signal but then reversed backwards. I expect long term battling for the rest of the week.
(This is not official financial advise)