This is a guest post from Precision Capital Management
The Precise Take – Equities trying to maintain ahead of FOMC Announcement
Leaders Analysis: The leaders are flat overnight, with the US Dollar still at critical resistance.
Medium Term Analysis: Uncertainty still looms regarding the Bernanke vote and to what extent banks will be affected by the new Volcker proposals. With GDP on Friday, we expect volatility and a resolution of the fate of this correction.
Trading Today: On the morning of an FOMC Announcement day, the ES would typically be up by five points or more from the prior close; however, the ES has not been able to muster a move through closing VWAP at 1092.50. If the seasonality holds, we should see a bullish day until after the Announcement, with downward move beginning anywhere from 2:30 pm to 3:00 pm. As noted above, however, the day is…
Read the full report: