Wednesday Log - The Fed Frenzy

Returned from the long weekend today only to be greeted by good old Fed Day. Went into the trading day looking to get involved with the morning move thinking there wouldn't be much more until the emotion of the FOMC announcement at 1415.

The first hour was pitiful as the market was basically in a 4 point range. I adjusted my "1st hour" range to reflect the low as of 1040 which proved to be more accurate a range to work from. Looked for the close/open trade to scalp a couple early points with about a 2 point stop in 69's. Once price went thru yesterday's close, I waited for a slight pullback and entered in the 67's. 1st target was 65's where I took 2/3 of position off with runner remaining for stab at overnight low area in 63's. Price stalled, I didn't like the "feel" of holding the short so went flat in lower 65's. Result: +5.0

Waited for Fed announcement before getting into another trade. Went short @ 1421 in 73's after emotional spike up. I was only looking for a quick scalp with lighter position than first trade of the day. Scaled out, re-set stop to breakeven which triggered before price stabbed into 75's. Result: +2.0

$TICK reading hit +1300 at about 1430 and again about five minutes late on divergent volume as price made new high in 75's. Went short again in high 74's with smaller position than 1st trade of the day, trying to preserve profits already bagged. First target was 72's and last target was a runner for 68's. Result: +7.0

Another day of planning, patience and getting a good feel for the market produced good profits. Using my experience from watching previous price action during Fed Day helped me work the "Fed Trade" without the emotional frenzy.

No losers again today and good trade execution, management and sequence economy. I've been seeing the trades better, my confidence in letting the trades work is sharper and my trade management has seen improvement as I go for the initial target and scale out with a plan in mind. We'll see how the rest of the week goes but feeling strong these past several days...Fed Frenzy or whatever the fuel source, I'm prepared with confidence, not cockiness.

Trade Well !