Some momentum stocks stalled out today and others like WUBA downright took a hit, yet the broad tape continues marching on. The Fed minutes were expected to yield a muted response and sure enough they did. More and more Fed members were shown to increase their hawkish tone meaning they want to slow the asset purchases (the ‘free money’) and raise borrowing rates. They are citing improvements in the labor markets. Thus good labor numbers will likely be bad for stock prices going forward.
This is all very obfuscated, and to overanalyze Fed actions can be a waste of time. I want to know how participants are acting right now, and right now they bought little dip.
We are still searching for a conviction seller. The rally continues until we find one.
All I did today was buy the HOD in GLUU and I am about to take this hit on WUBA ahead of earnings. Aside from that I am excited for day three with the After Hours with Option Addict crew where we will be taking all of our newly minted terminology and market profile logic and analyzing some markets.If you enjoy the content at iBankCoin, please follow us on Twitter