Fed Announcement Pressures Stock Indices

For the last two and a half days, the Stock Indices have been in a pause phase waiting for the Fed announcement today on interest rates. After that announcement and during the comment period, there was a lot of volatility. Finally, traders decided to sell. Short-term support levels were broken and this opens up the now higher probability of testing the June 17 lows. The Indices closed at their lows today, suggesting there will be follow-through tomorrow. If there is watch for any breadth divergence that can signal a pause or rotation back up.

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