FOMC Trade Plans for ES/SPY

Looks like we may be setting up for a volatile FOMC. My first though is to think that it will be a sell the news event when the Fed confirms a 25 point cut will be coming in September, but I'll stick to the charts.

VX is always the most critical thing when it comes to FOMC, there will be a lot of volatility and whipsaw action and it's easy to get faked out. If you use VX, you can better determine if the moves are real or not. I'll be looking for setups where VX hits resistance as ES hits support, or where ES hits resistance and VX hits support.

I think the ideal scenario and easiest to trade would be if ES could fall down to 5525 quickly as VX spikes into resistance around 16.185. I'd be looking for longs there and quickly stop if ES does break below 5525. If VX can keep going up past 17 and even above the trendline, I'd say look out below.

If VX spikes up to the trendline while ES hits support, it may be a good long. And finally, if ES rockets and VX goes all the way down to the 15 area and trendline support, it may be a good spot to short ES/SPY. Trading FOMC is risky and I don't recommend if you do not have experience doing so. Even if you do have experience, it's not the smartest thing to do. I usually use smaller size, but I do like to trade it if the opportunities present themselves.