Tuesday, April 3, 2012

No QE3?

The indices were trading sloppy in the morning hours, with a slight downward bias. At 2 p.m., the FOMC Minutes were announced. Helicopter Ben implied there would be no more easing unless economic growth slows.

On that news, indices tanked 0.5% within a couple of minutes. With 90 minutes to go in the session, indices found a bottom and price even managed to get back to the levels from before the FOMC minutes.

5m-chart SPY:

Daily charts DIA, SPY, QQQ and IWM:

Euro, oil, metals
Especially the euro and metals lost big on the FOMC minutes. They barely recouped any losses, unlike stocks. Oil went down as well, but only moderate.

SNTS is holding my stop (5.80), still long although the candlestick on the daily is practically a bearish engulfing candle.

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