The market traded sideways until the released of the FOMC minutes at 2 pm in the afternoon. When the Fed tapered by another $10 billion per month as planned the market tank hard but managed to bounced on profit-taking into the close.
With major stock indices all broken below their respective Tuesday's swing low the trend down may be resuming. If so, we should see a down-day on Thursday. A clear and sustained break below Wednesday's swing low should take the market down to the next support zone.
The market would need to break-back above Tuesday's swing high to negate the resumption of the downtrend.
Key price level to watch for on Thursday is 3680 for NQ and 1856 for ES.
-- Bearish bias below key price NQ and ES, targeting a break below Wednesday's swing low. NQ supports are 3650 then 3620. ES supports are1846 and 1832.
With the Fed trying desperately to prevent dollar meltdown, gold and other major currencies got whacked and the US$ got the lift.
