Investors are once again turned towards the FOMC meeting scheduled for tomorrow Wednesday at 2:00 pm New York Time. US inflation data is priority as the Fed reports on their interest rate decision. Forex and Equity Interest traders see this as to key to the direction of the US Dollar and the equity markets in general.
The Consensus Across The Board
Across the board, all analysts surveyed agreed that the Fed will report no change to the current interest rates. I too share the consensus as inflation continues to remain low and the economy, even though looking a little better, is still very fragile. The USA Presidential election is also an important consideration and in an election year the Fed does not want to make waves. Janet Yellen is after all an Obama appointee and an interest rate hike will not be favorable anytime soon.
It never ceases to amaze me that even when there is a 99% chance of interest rates remaining unchanged, we often observe violent spikes in the Forex market during the Fed announcement and tomorrow the expectation is no different. We urge Forex traders to buy and sell with caution, or even better – to stay sidelined until the dust settles.
Forex Signal Expectations
As always the ForexSignal.com trading desk is always looking for opportunities to send Forex signals to our worldwide client base. All signal alerts include precise Entry Point, Stop and Take Profit levels
And if you don’t have time to trade, our Trade Copier program automates our Forex signals, helping to ensure you never miss out any of our Forex trades. A trading specialist will be happy to hold your hand through the setup process.
We wish you happy and successful trading in the week ahead.
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