Finally... the FOMC meeting day is here! Yippee! Aren't you tired of this crappy trendless market? I know I am. From the looks of the early morning 60 minute chart on the ES Futures we might drop back to that lower rising trendline around 1995 currently, which is around the intraday low yesterday and would be a double bottom.
On the upside we now can see the short rising trendline point just above the gap fill from January 2nd of this year. It looks like it's around the 2025-2030 area right now. So that's the upside target and the downside is around 1995 now but rising. If there is a "shakeout" move to the downside after the FOMC (or before it?) the next big support is around 1980 from the prior horizontal consolidation several days back.
So for now I guess we wait to hear what Janet Yellen says after the meeting. I think it's a lose lose scenario where if she raises rates the market won't like that for sure and if she doesn't raise rates it will be interpreted as the economy is weaker then thought and the market won't like that either. But I do expect a squeeze out first before the reality sinks in on Thursday or Friday from whatever she says.
