all eyes and ears on FED

The waiting will be over by the afternoon tomorrow, whether this market has entered into a new trading territory or back to the trading range will be revealed after the FED rate decision.

 

It is widely expected that the FED will cut rate by 25 bps. What is important is the statement companied the decision.  If FED shows some flexibility to against slowdown instead of concerns about inflation, then we may see a rally of the market.  Anything deviates from this scripts could put the rise of the market in jeopardy.

 

 So, be prepared.

 

Today we begin to see some selling for energy, this seems like a so simple trade even a caveman can do it.  This actually made me worried.  Will the energy follow the saying that “buy at the rumor, sell at the fact”?  it of course remain to be seen, but I have a position in energy, I will definitely be in high alert before and after FED announcement.  Also, tomorrow we will see inventory data, that could influence the price of the oil

 

There are sector rotations based on the oil’s fail.  One can see the consumer discretion, transportation and technology rise today.

 

 

anyways, be careful tomorrow and good luck