๐จ FOMC TOMORROW: DONโT TRADE THE HEADLINEโTRADE THE REACTION ๐จ
The Fed decision hits at 2:00 PM ET, followed by the press conference at 2:30 PM ET. Expect fast moves, sharp reversals, wider spreads, and plenty of traps.
โฐ My game plan:
๐ Before 2:00: Mark key levels on $SPY and $QQQโday high/low, premarket levels, VWAP, and major support/resistance.
โ 2:00โ2:10: Stay patient. The first move is often chaotic; donโt chase a breakout without confirmation.
๐ฏ After 2:10: Look for an announcement-range break and retest, failed-breakout reversal, or VWAP reclaim/rejection.
โ ๏ธ At 2:30: Prepare for a second volatility wave as the press conference begins.
๐ Watch $SPY, $QQQ, $IWM, VIX, Treasury yields, market breadth, and sector rotation. The best setups may come from stocks showing relative strength or weakness after the initial reaction.
โ Reduce size
โ Use defined stops
โ Wait for confirmation
โ Take profits into momentum
The goal isnโt to predict the Fedโitโs to react better than the crowd. ๐ฅ๐