Tuesday, August 10, 2010

Preview of Weakness

It isn't common for us to gap down this big ahead of a FOMC meeting, and it must be catching a few traders by surprise.  If we don't have much of an upmove ahead of the Fed, we could have a "surprise" big down day on a Fed day.  If the market doesn't get its goodies- more QE, the market will go down sharply.  It seems we are overdue for a bad day when the Fed makes its announcement. 

1 comment:

Petsamo said...

I found it unusual that the Nikkei, Hang Seng, India, and Europe sold off sharply, except Europe hasn't closed yet.