Emini Trading Blog

Archive for the ‘Interest Rates’ Category

Today, the FED left interest rates unchanged. Inflation looms threatening productivity, profitability and US currency value. It seems they think their best option is to “wait and see”. Market participants a.k.a., Wall Street on the other hand, took action right away. The consensus, based on market price, is that overall traders will wait and see with a little less on the table.

TODAY WE SAW

Overnight trading pushed higher than yesterdays close, and today price gapped up followed by numerous new highs. With little in the way of price pullbacks, advisable long entries were hard to fill. Unless you trade in close proximity to news releases. If yes, two favorable buys worked out nicely.

BUY SIDE ENTRIES

Close to news? Here is what I mean: In the 2:18 p.m. (EST) period, 870.25 buy-limit was filled and a +6 tic sell-limit was fillable. A bit later, near 3 pm 871.75 was fillable and potentially profitable for +6 tics. Potential outcome: +12 tics.

SELL SIDE ENTRIES

None today.

TODAY’S POTENTIAL P/L: +12 tics. By trading only advisable entries mostly based on objective information, your personal p/l will have a much greater chance at staying positive. Hopefully, the FED’s rate policy, will prove to be advisable and have a positive effect for all of us. On that, I must admit feeling a bit hawkish.