Morning Bulletin 10/13 '22
Traders-
We yet again see my levels have been hit on the overnight time frames with the LIS being the high of the day in night and now trading around 3500.
This large move caused by the CPI news which shows very little progress by the FED in fighting this problem. Below are the numbers.
US CPI is 8.2% YOY, expected was 8.1
Core is 0.6%, expected was 0.4
Overall MoM 0.4%, expected was 0.1
This puts FED in tremendous hard spot - the rates I think are closer to their peak and inflation is nowhere near where they want it. This is very bad place to be in for the FED, and for most of us.
This puts the FED in a tender spot- a lot of talking heads thinking the FED will continue to tighten, I am not so sure. I think they are in no place to continue to tighten the rates any more. Let us see how this goes for a week or two ahead. More on this in the weekly.
For the session today, I have some levels I will be watching:
3557-3564 will be key for me today.
We may find sellers if we retest this.
If we close back above 3566 on the intraday time frame, like an hourly, we may see range bound action in 3564-3600.
As suspected by me, there was heavy put flow here around 3500. I would think some of them may take profit at the open. Now around 3500.
~ Tic
Disclaimer: This newsletter is not trading or investment advice, but for general informational purposes only. This newsletter represents my personal opinions which I am sharing publicly as my personal blog. Futures, stocks, bonds trading of any kind involves a lot of risk. No guarantee of any profit whatsoever is made. In fact, you may lose everything you have. So be very careful. I guarantee no profit whatsoever, You assume the entire cost and risk of any trading or investing activities you choose to undertake. You are solely responsible for making your own investment decisions. Owners/authors of this newsletter, its representatives, its principals, its moderators and its members, are NOT registered as securities broker-dealers or investment advisors either with the U.S. Securities and Exchange Commission, CFTC or with any other securities/regulatory authority. Consult with a registered investment advisor, broker-dealer, and/or financial advisor. Reading and using this newsletter or any of my publications, you are agreeing to these terms. Any screenshots used here are the courtesy of Ninja Trader, Think or Swim and/or Jigsaw. I am just an end user with no affiliations with them.