As usual there's going to be a volatile whipsaw.... then rally or selloff today following the 2:30 announcement (there's usually a 3-wave quick move starting 2:30... knee jerk 5 minute reaction, then countertrend, then major move starting 2:45.) My daytrading playbook (not recommendations): If bullish reaction I'll buy SVXY and SOXL If bearish reaction I'll buy UVXY TZA SQQQ Best wishes to all, today's likely to be a tradable FOMC reaction. This one should be especially volatile. I expect a minor move up followed by epic selloff; if that occurs I'm aggressively trading UVXY. https://www.cnbc.com/2021/12/14/the...very-big-step-toward-its-first-rate-hike.html
I believe markets already know the fed outcome of the possibility of 2 to 3 rate hikes over the next 18 months so I think the markets will rally, unless he throws in some sudden change today
Would be nice to a screen shot of your actual trade executions, with targets and stops, to give us confidence.
Here's a speculative trade for those so inclined.... Around the announcement time, place a limit buy "some amount" below the current price... say, 10-ish points.... with a stop you can stomach.... just in case the initial thrash is negative. You may catch a downward spike fill... kind of the "shake-off before the take-off" sort of thing. (Of course you can do the opposite if you're playing for a negative statement.) You usually don't get the opportunity to "wait and see how things appear to be panning out". The market will likely be "spiking and thrashing" even if the official FOMC statement is "unchanged". FWIW...
Ill keep an eye out on how this goes, its similar to a 'straddle' strategy i have heard used on Forex. Trading the breakout of the news