Dow

[ananda77]

US Calendar:
FOMC left rates unchanged (0.25%), elevated econ view, inflation tame, MBS pace slowed

Bond Market:
14:52 ET 10-Yr: +03+/32..3.431%.. USD/JPY: 91.0875.. EUR/USD: 1.4807
Buck Beat Down: The buck got taken out following the FOMC, with the promise of continually low rates in a slow, plodding growth scenario, the index was clocked to make new year lows and trade back to early August 08 levels. The euro was flung back through to near 1.4845 on the news. The yen took a delayed reaction run back through to 90.85 from just off the session high near 91.50 while paring some of its losses on the euro in the process. The run-off on the buck allowed the gold to make a run at session highs with spot now 1015.00 (+0.50) while crude was unable to get much back in the face of prolonged slow domestic, demand, now 68.99 (-2.77).

Stock Market:
...as expected, SPX 500 traded higher into lower end of immediate target *1082/*1090/*1119 level after FOMC statement; at this stage, a brief slip back of the index to affirm the current *1057 trading range floor is possible

...the US economic calendar features Initial Claims tomorrow 24 September and disappointment could threaten the *1057 support; failure at this level would increase risk for a minimum shake-out back to *1027/*1035 congestion and the implication of such a correction could be the start of a double top process which would be confirmed by a second test and subsequent failure of the *1082/*1090/*1119 level;

...on a cautionary note: downside risks based on momentum and VIX cycle studies are starting to overshadow upside potential and possible failure at *1082/*1090/*1119 (see attachments)

Trading Strategy: sideline (safest);
-hedge: neutral to bullish bias to *1018/*1044/*1100; no equity exposure;
-hedge: short 10% equity covered; short bias (+); with equity exposure;

Long Term: THE BEAR

_no guarantees and trading strategies are just ideas_

Kind Regards