macbonzo
Well-known member
- Messages
- 292
- Likes
- 6
kriesau said:Don't think that you can rely on any trendlines or Support/Resistence levels until we have cleared the hurdle of Bernankes comments at the end of tomorrows Fed meeting.
We could be on the cusp of a major correction here (potentially down) but any hint of rate hikes coming to an end after tomorrow could create a market frenzy and send the Dow up 300/400 pts this week for a strong short term rally.
Yes, I think you are right about being very cautious about everything until the market has digested the Committee's statement. The volatility around the statement is enough to keep me out the market and wait until the next day.
At the last meeting, the statement said:
Further policy firming "may" be needed given "possible" increases in resource utilisation
Standing back and looking at the markets. I am pretty impressed that neither Nymex crude ($65.10)pb nor the yield on $TNX (4.73%) have caused much profit taking over the last 9 sessions. I think we are more likely to go up than down in the short term.