Market Movers? ISM Services, Beige Book --> $500 profits
5 min Emini Nasdaq 100 Chart
Hi,
As you know, there's the ISM services index announcement at 10:00 am and Beige Book release at 14:00 today... We have to be cautious when there are two major announcements... I have no intentions of entering the market until the beige book is out.....
Today market gapped down and was basically ranging until 10:00 am when the ISM services index were announced.
Here's a flavor of what briefing.com said : "services index rose a larger than expected 57.0 in August (consensus 55.0), up from the 54.8 July reading but not as much as the 63.0 and 60.1 levels in April and May, respectively, thus reflecting a slowdown in growth very much consistent with the soft landing desired by the Fed....."
Mumbo Jumbo... all I know is, the market didn't move much after the news release... it further confirmed my conviction to stay on the sidelines until 14:00 when the beige book is released...
However, at 11:30,, there was a slight breakdown and I had to RESIST THE TEMPTATION to go short.... markets are well know to be range bound before important news releases.... and the BEIGE BOOK is certainly a major release...
Finally,... 14:00 came and the Beige book was released... Here's what it briefing said:"
The Federal Reserve, in a regional survey known as the beige book, said consumer spending rose "slowly" in most of the country and there was a "uniformly weak" housing market."
Mumbo Jumbo to me again...the first five minutes remained pretty immuned to the beige book... But at 14:10, a huge red candlestick started to form and this was the signal for me to short. I shorted 1 contract at 1586 and another 2 contracts at 1582.... I was prepared to let it run... but at 15:05.. price starte to show some weakness with the appearance of a drangonfly white candlestick... I exited at 1575... pocketing $500...