What do you think about Fed meeting on this day. If they lower interest rate or left it as it is, I expect big swing in the market. What is your strategy, buy straddles?
long ahead of the number with some downside put protection as a hedge. a) no change = no news. sell off 100 pts, comes back the next day. fluff. b) 25bps = mild support. really no change. c) 50 bps= dollar tanks, equities supported. (most unlikely scenario)
I am gooing to sit back and enjoy the selloff if it happens and buy some dec calls on: EWZ and make a killing
I'll Buy if the market (ES) goes up or I'll sell it if the market goes down... I wonder if we'll get the normal 3 spikes rule (5min/3min chart) on the news release? First Spike is the true direction the second is the muppit fade and the final third is the lock and load back in the direction of the first spike.