Can the Fed Rally Continue?


Cimic Group Ltd 13-09-18

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[Watch today’s video update by clicking on the picture to find out how to trade the coming volatility in US markets. This is a very unique situation and traders should be preparing themselves for the opportunities to come.]

After the US Fed made a sharp about-face last week in response to the market volatility at the end of last year, we find ourselves in a situation where the technical picture is still very bearish but there has been a potentially large shift in the fundamental situation.

In today’s market update I point out that regardless of whether or not the Fed’s change of heart sparks another leg up in the bull market, there will likely be stiff resistance encountered overhead as a result of the huge quarterly sell pivot that we saw at the end of last year.

I see opportunity to create a cheap straddle, as I discussed last week, the higher this market goes in the short-term. I point out where all of the key levels are above and below the market and show you why so many technical indicators are pointing to a sharp sell-off occurring once this current upward momentum runs out of steam.


Murray Dawes,
Editor, Alpha Wave Trader

Murray Dawes is the Editor of Pivot Trader and contributing Editor at Money Morning. He was one of five, from 5,000 applicants, chosen for a graduate position with the Swiss Banking Corporation — now part of banking giant UBS. The bosses quickly cottoned on to his potential and pushed him up the ranks as a futures broker on the floors of the Sydney Futures Exchange. Murray later broke out on his own and developed custom trading systems to trade leveraged financial instruments like futures. Due to his success, Murray became the ‘hired gun’ trader for Australia’s rich and famous. Today, Murray runs a trading service through Fat Tail Investment Research to help everyday Aussie investors use his advanced trading methods.

Money Morning Australia