Get Ready for a Rocking Week
Published on January 28, 2008
Published on January 28, 2008
This week is packed with lot of market moving indicators and therefore fasten your seat belts. Weather is expected to be turbulent. In addition to key economic data, a large number of S&P 500 companies are expected to announce earning results as well. Of course the biggie is FOMC announcement on Jan 30, 2:15 US EST. A quarter point cut is already factored, but 50 basis point is what will move markets.
340 S&P 500 companies are yet to report results including the king of earnings, Google. Past quarter is gone, I would therefore suggest paying close attention to the “outlook” and “margins”. Whoever has “both” deteriorated, will be punished harshly.
Expect a lot of volatility, one day down, the other day up or vice versa. I expect the “market driving forces” to pull markets down before FOMC announcement so as to have psychological pressure to cut rates more (hasn’t that happened all the times since Aug?) I surely don’t think markets are headed higher significantly before announcement. At best, sideways.
Have fun, profitable trading, OP
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