Welcome to B.O.H.I.C.A day ladies and gents.
I have not been offering commentary on the markets because the lack of logic in posting commentary on crappola stocks being bid up from near zero makes zero logical sense.
Unless we’ve hit 88 mph and returned to 2008.
Ignore the extremely overbought technical conditions.
Ignore the Fed Statement.
The markets should open green, trade loose, then rally and drop when the statement comes out.
Do listen to the press conference because if Jay Powell comes out swinging above and beyond the 25 basis point increase all hell will break loose. Worse, if the Fed issues a major inflation warning, then Thursday and Friday will be bloodbaths.
If the hedge funds are out of position on equities or bonds, watch out for even wilder trading across the board as Bloomberg indicates could hit hard the next two days per this Tweet:
In the end, I would not expect much until Thursday morning when everyone prepares for the big earnings that day and takes the Fed’s press conference into account. Friday could, I repeat could be a wild day marking the end of the bear market rally.
Buckle up, it’s about to get fun finally for swing traders and those crazy day traders who actually understand how to deal with wild and loose markets.