Hey friend,
Nothing much on the economic calendar today.
The Fed begins its monetary policy meeting today, and delivers its decision tomorrow.
Markets are pricing in a 93% chance of a hike tomorrow.
Let’s see how the markets have been moving.
The Daily Direction
Note: All indexes closed lower yesterday and opened lower this morning as well – keeping all short and medium-term directions in the red.
The Daily Nugget
Movement is not the same thing as opportunity.
The Fed can make stocks jump around fast.
That doesn’t mean every move gives you a good trade.
A stock pops 6% after the announcement and suddenly everyone wants in.
But what are you actually buying?
Maybe the clean entry was two dollars ago.
Maybe support is way below.
Maybe you’d have to risk $4 just to make another $2.
That’s not a setup.
That’s chasing.
A good trade should still give you a clear entry, a clear point where you’re wrong, and enough upside to make the risk make sense.
None of that changes because Powell is talking and the candles get bigger.
So if tomorrow gets wild, don’t feel like you have to react to the first thing that moves.
Let the market move.
Then look for the trade that still gives you a clean setup.
The Traders Agency Team
P.S. Speaking of setups – here is how Ross can make ANYONE a profitable stock trader.
