Deflate Gate: Rally before Powell speech?
Futures is showing some oversold technicals on the 1hr timeframe.
What I want to see is a bounce into the speech. I want to see people get their hopes up for a an announcement that the hikes are over and then the market to flush after Powell announces that inflation is still entrenched and sticky.
We could get some buyers to end Friday, it seems like everyone is already anticipating the upcoming hike having it confirmed might cause the market to relax a bit after an initial fearful sell-off.
What I want to see is a bounce into the speech. I want to see people get their hopes up for a an announcement that the hikes are over and then the market to flush after Powell announces that inflation is still entrenched and sticky.
We could get some buyers to end Friday, it seems like everyone is already anticipating the upcoming hike having it confirmed might cause the market to relax a bit after an initial fearful sell-off.
Tank into Powell and rally after
If everyone believes higher for longer and end of the world, getting some clarity may cause a rise.