From the Trading Desk

Stocks Close out October with Gains; Fed Meeting Eyed

Led by small caps the market moved higher once again. Volume was higher across the board in part due to end-of-the-month rebalancing. It had been lagging all day. At the close IWM was up 71bps off its high of the day, but solid gains nonetheless. NASDAQ continues to benefit as large cap tech continues to see buyers step up and snatch up shares. AAPL is now up 3 days in a row and does not report until Thursday after the bell. FB reports tonight. Yesterday’s action was just another reminder how strong this market really is. Before we proceed, let’s get one thing straight: this is not the strongest market we have ever seen. However, it may be the most resilient. We see no need to deviate from our current course even with the Federal Reserve set to release their latest policy statement. Price action continues to be positive for this uptrend and we will certainly ride this wave until signals suggest otherwise.

Most traders are still fighting this market trend. This market has continued to make new highs despite many market pundits suggesting otherwise. Whether it is politics, North Korea, high valuations, or seasonality this market has powered through it all and has yet to look back. The situation may change beginning with the Fed today, but nothing has suggested the Fed will deviate from their current course. Of course, the new chair (expected Thursday) of the Fed may lead the central bank in a different direction. However, at this point why would they want to move off this gravy train they are riding? We’ll leave it to the pundits to figure this all out while we focus on price.

A new month and a new beginning to really close out this year with fantastic gains. Stick with Big Wave Trading as we provide you with top notch trade signals and money management system. You do have to put in the work, but we are here to help you every step of the way.

Futures at this point in the morning are pointing to a higher open. We wish you the best!

Take a Free Trial with Big Wave Trading

Speak Your Mind