FOMC Fed Day

[DeltaGuy]

Don't forget that today is a Fed Day.

Fed Day Video - shows 5 minute bar chart with MP chart for the E-mini S&P500 developing during the previous Fed Day at 90x speed so the whole day fits into a few minutes - useful for getting an idea about what happens on a Fed Day.

96% probability that rate hike will be 0.25 and 4% probability that it will be 0.50. Fed rate change announcement is made at 14:15 EST so expect fireworks after that.

If you are new to trading and this is your first Fed Day then it is highly advisable to stand aside and not trade and just observer. You'll notice that the market is dull and sideways until 2:15pm EST and then becomes very volatile after that.

[DeltaGuy]

Reminder that tomorrow is FOMC Fed Day. This means low volatility in the morning and extreme volatility in the afternoon - after 2:15pm EST. There are some charts and resources here that show what the previous Fed Days have looked like in the E-mini S&P500 - the ES:
FOMC Fed Day charts and figures

[DeltaGuy]

The Fed is expected to raise interest rates by 0.25% to 5.25%

[DeltaGuy]

Don't forget that tomorrow is Fed Day! (i.e. 8 Aug 2006)

[Wallace]

Fed will pause.

[ampris2000]

so if the fed pauses what does that mean? sell the dollar or buy it?

[Wallace]

Hi Ampris2000, yes, Sell $, Buy others.

Bit of a none event after the fact, however the interest rate increase or not news is often a 'buy rumour sell news' where prices rally/decline to the announcement such as the previous ECB and BoE raises.

[rparedes]

Sorry for being green behind the ears. I thought sell the dollar but a lot of what I'm reading looks like dollar bulls coming in. Can someone explain this?