While I continue to build a bullish case, there is still one
thing that could knock the market off its current course. An
immediate risk for bulls is this week’s FOMC meeting, as the last
three meetings acted as catalysts for sharp, short-term selloffs.
SCHAEFFERS Reasearch
With the Fed in focus mid-week and the potential for a market
reaction similar to those that occurred after the three previous
meetings, keep tabs on important levels of potential support. A
first line of potential defense for bulls is the 3,940-3,970 area,
as 3,940 will be the site of the trendline that connected the lower
highs in 2022 on FOMC day, in addition to the popular 50-day moving
average. Meanwhile, 3,970 is the close prior to last Monday’s
breakout above that major trendline.
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While I continue to build
Posted by rbreese on 31st of Jan 2023 at 12:45 pm
While I continue to build a bullish case, there is still one thing that could knock the market off its current course. An immediate risk for bulls is this week’s FOMC meeting, as the last three meetings acted as catalysts for sharp, short-term selloffs. SCHAEFFERS Reasearch
With the Fed in focus mid-week and the potential for a market reaction similar to those that occurred after the three previous meetings, keep tabs on important levels of potential support. A first line of potential defense for bulls is the 3,940-3,970 area, as 3,940 will be the site of the trendline that connected the lower highs in 2022 on FOMC day, in addition to the popular 50-day moving average. Meanwhile, 3,970 is the close prior to last Monday’s breakout above that major trendline.