SPY Buy At Support From Trendline A

SPY Buy At Support From Trendline A

Today is FOMC day, so expect whipsaw type price action. SPY is set to gap down and open at 112, this is right at support from trendline A. What a coincidence. I expect SPY to hold support at trendline A and rally though I am not sure if SPY can fill the gap at 112.99 before the FOMC announcement at 2:15. A couple things about the FOMC statement that I have noticed over the years:

The market's initial reaction to the FOMC statement is a fakeout. About 5-10 minutes after the FOMC statement, the stock market reverses trend for the rest of the day. The following day the stock market usually reverses trend yet again. So play small today.

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