Tuesday 15 December 2015

Trading Views for a Dovish Fed

The Fed is likely to be highly dovish in its rate announcement today. Some big moves are likely as the token rate hike gets priced in. Here are some short terms trend to consider:

1) The Dollar:

Attempts will be made to talk the dollar down which has been killing multi national profits, looking for some short term dollar weakness:
EUR/USD (EURUSD=X)

2) Counter trend up move in gold if the Dollar weakens:

SPDR Gold Shares (GLD)

3) Counter trend up move in Oil if the Dollar weakens:

United States Oil (USO)

4) The S&P 500 probably bounces to resistance near 1920:

S&P 500 (^GSPC)

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