Pre-open eMini SP 500 Morning Report 3.15.10

This is a guest post from Precision Capital Management

The Precise Take – Markets quiet ahead of full news week

Leaders Analysis:  After breaking its consolidating wedge to the downside Friday, the US Dollar Index is retracing a bit as expected.  The EuroYen is down marginally, and 30 Year T-Bond yields are down, but at support.  For today, the leaders are equities neutral.

Medium Term Analysis:  Tomorrow, the FOMC meets and is the first one day meeting in recent memory.  This in itself shows the Fed is a bit complacent; however, the ramifications aren’t relevant to trading over the next week.  We don’t expect any waves, and with CPI Thursday and options expiration (quadruple witching) later this week, there will be plenty of news to influence equities.  Given the bullish FOMC seasonality from the close of the day prior (today) to just after the announcement, the best scenario for swing longs is to trade above 1147.00 by tomorrow’s open and clear major resistance at 1152.75 prior to or just after the announcement.  Then, after consolidating Wednesday…

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