The next FOMC Interest Decision and Press Conference n will be held on 25-26 Jan 2022.
As you can see in the recent US Stock Market, Nasdaq and S&P 500 index has fallen into correction territory. The market is extremely volatile now.
The market has expected to have 3 rate hikes in 2022. Any rate hikes expectation that is more than 3 times this year will be bullish for USD while any reduction of the rate hikes expectation will bullish EUR.
Based on past experience, Fed Chairman Jerome Powell tends to comfort the market when the market has a big drop. Especially with recent US economic data such as Retail Sales, Initial Jobless Claim, and Existing Home Sales all have lower than expected outcomes. All these outcomes show that the US economy might not recover as well as expected. Hence, Fed might have the ground to play dovish on the rate hike.
Recommendation
With this outlook, as usual, and to be on the safe side, we strongly recommend all Ophiuchus and Limitless EA users to schedule to stop trading from 25 Jan 2022 till 28 Jan 2022 to avoid a strong market move due to this announcement. You can use the stop trading period feature in the EA to do that. You can also decide to extend the stop trading period (eg, till 29 Jan and only start trade on the week after next) if you would like.
Disclaimer – Please note that Limitless Trading is not liable for our recommendation and is not responsible for any loss or profit caused by this recommendation. You should assess your personal circumstances and perform your own research to make decisions for your trading.
