In yesterday’s weekly update, I mentioned that
when a major level is taken out in the S & P 500,
that it is not uncommon to see a pullback or
a consolidation afterwards.
You can read it here … http://fusiontraderblog.com/?p=153
As I said, the key level for the S & P 500 was
2,000. This was an objective we had for a while
before it was hit.
After 2,000 was hit, price consolidated for about
two weeks before a pullback that bottomed yesterday.
Today, the market reversed and the S & P 500 is
right around the 2,000 level again.
This is important to note because I heard a lot of
pundits discussing how the market should continue
There were plenty of decent moves today.
Google, for example is up almost $8 today.
And Priceline is up almost $20.
Tomorrow is the Fed meeting and release of
the Fed notes.
Will this be the event that spoils the party?
I don’t know.
But I do know that you need to be aware that
this event could create extra volatility.
There are a few instruments that tend to move
on days when the Fed makes their comments.
An example is the FAS. Or the TLT.
It will be interesting to see what comments
That’s it for today.