Well, OZ, I figured flat to slightly up today, and it was slightly down. I stayed out, of course, with my trading account.
Tomorrow should be an interesting day. We get the Fed Announcement at 2:15, with an expected 1/4 to 1/2 point cut. How to play it?
We could get a "Buy on the Rumor, sell on the News", day, with a rally in the morning followed by a sell off when the cut is announced. Or it could stay flat until the announcement, followed by a rise. I don't expect a drop after the announcement if there has not been a morning rally. Nor do I expect a morning rise to continue.
So this means I will plan to short a morning rise, and close out in the afternoon, or short the rise after the announcement, and close out Wednesday.
I will either use QQQ, or one of the tech stocks I follow, as the vehicle.
If I am wrong, and the rise continues, I will wait until Friday to close out, with a stop a couple of points up from my entry point. |
