Morse Code Wednesday, page-3

SPI200 Commentary

Follow or Fade!

Sideways day on the SPI with a range of 46. SPI gapped lower at the open at 5194 then had a quick rise to 5233 which was the high for the day. SPI then fell back to 5205 then rallied back to 5225 by 11. Lunch saw the SPI fall down to 5187 which was the low for the day then the SPI ranged into the close between 5190 and 5205 then closed at 5195. Overnight saw the SPI range between 5205 and 5220 then closed at 5215.

It seems as though all the markets around the world are waiting for the FED meeting till it decides where it wants to go next. Next meeting after is the BOJ tomorrow afternoon. So we should see the SPI in range bound action again today. We could see an early sell off due to Apple missing their earnings a couple of hours ago but all in all I doubt we see the SPI make a breakout in either direction. So for todays trading I will be looking to buy dips around 5180 and sell rallies around 5230