The rise in stock prices today was somewhat surprising considering that the Group of 20 meeting hadn’t released any information concerning the continuing problems with the “weak sisters” debt crisis, and the political infighting in Greece continued for the third day after Sunday’s election.
Tuesday stocks closed at their one month highs prior to the announcement on Wednesday what the Federal Reserve is going to do to keep the economy moving along, with unemployment still high and the mood for the past month very negative.
The DJIA and S&P 500 rose by a little more than 1%, on below average volume. Many analysists feel that with Europe in the dreaded double dip recession and the US continuing to experience headwinds that the Fed will make a positive statement after the meeting closes on Wednesday.
The move could come in the form of the current “twisting” policy in which the Fed has moved the which the Fed has moved the yield curve by purchasing longer dated government securities and selling the near term maturity in an effort to lower long term mortgage rates, or it might be an new form of QE.
How will the Fed’s new policy affect the markets? It could be very positive or it could turn them south again. A lot of what is going to occur will depend on market expectation. Reacting to that market expectation is the key.
Reacting takes discipline and that is what I teach my students to do, react to the market, and don’t try and predict what is going to happen. Trade the market you have not the market that you want.
That is where I come into the picture, I give my students the training that they need to take market expectation and turn it into a profit. Having confidence can make all the difference in the world when you trade.
Confidence creates opportunities and that opportunity creates winning trades. I can help you to learn to react to the market. I have taught scores of students the skill to turn problems into opportunity and I can teach you too. To reach me and have me instruct you one on one, you can contact one of my financial consultants by clicking here:
Keep those stops tight.
Todd “Bubba” Horwitz
P.S. We run the fastest growing online options community. With weekly webinars and a very energetic forum, my team and I are always looking for great risk/reward opportunities. Click on the link below and become a member of my community today.
— Todd Horwitz