deBrinks doMain

Wednesday, June 20th

On the economic calendar:-

07:00 MBA Purchases

10:15 No Fed Intervention Today

12:30 FOMC Meeting Announcement (Fed target rate to remain unchanged)

14:00 FOMC Forecasts

14:15 Fed Chairman Press Conference

Prices remained largely unchanged overnight, with at high at 149’07 and a low at 148’25. The main driver of prices will obviously be the Fed announcement, and the forecasts that follow a little later.

Overnight lack of direction keeps the 30 minute trend following chart bearish, with a close above 149’11 needed to turn it bullish.

Yesterday’s sell off resulted in a break of the upward sloping trend line, and with the short term trend bearish, we can expect further downside action. The 144’18 level is an initial target point.

Should this be a normal retracement, 148’19 (50%), 148’06 (61.8%) and 147’20 (78.2%), should provide support. The upside targets remain 150’15, then 150’21 followed by new highs.

Price support and resistance levels remain unchanged.