Price, Price Spread, Lagged Price/Volume Spread, and Binary Price/Volume Indicator
Price and Total Volume With 50-period Moving Volume Average
Fibonacci Price Scale With Target
Jerome Powell announced yesterday that there might be two more rate hikes after the pause he announced yesterday, and the bipolar nature of markets instantly revealed itself in MNQU23 and other contracts. The bears drove it right into the ground below 15000 and then the bulls smacked it all the way back to 15244. There is a reason for that. Absolutely NOTHING HAS CHANGED:
Congressional spending is still uncapped.
Spending will continue AT LEAST at the levels of the ‘covidiocy’ that began in 2021 after Dear Leader took office.
The regional banks, if rates increase, which they will have to as resource prices find a mooring, will be under more pressure.
Truth will rise as the bull(expletive spelling deleted) flies. Powell’s handwaving does nothing. I may get into that this weekend. The prospects of cooling inflation are easily counterbalanced by the considerable fiscal, monetary, and financial laxity and insanity of Congress and the Executive Branch. Nothing at all has changed. All the old threats are there.
Let’s look at the charts and deal with that.
If MNQU23 can remain above 15098, then it has a shot at rallying back to 15244 and to 15317 and 15409.50 by Friday evening US time.
If not, MNQU23 could fall back quickly to 14976, and then potentially back to 14903 and 14810.25 by Friday evening US time. Europe seemed to be mildly bearish, but we will see just how well 15098 and the area around it hold support as retail sales data comes out.
I broke even on the long trade yesterday morning, still in simulation. The key here is that the stop was never threatened, it just missed the target barely and was a free trade at breakeven. In the afternoon, I was working on other projects, got back to my terminal, and identified an 80 NQ point short target just as the Fed made the announcement. I could not get to the terminal fast enough to nest the trade and missed it. The important thing to me is that the new techniques have helped me to identify proper breakouts better and to limit risk. Testing will continue today and tomorrow.
That is it for now. Have an incredible Thursday!
Today’s Economic Data Courtesy of Trading Economics dot com. Be sure to refresh the date at the top left.
