January 26, 2022

Markets:

Stock futures rose Wednesday following another wild session for the market as investors await results from a Federal Reserve meeting expected to set the tone for 2022.

Technology shares rallied in early morning trading following Microsoft’s earnings report. Microsoft shares rose 5.5% after the company issued better-than-expected quarterly revenue guidance. Apple, Amazon, Netflix and Nvidia all traded higher. Tesla shares popped 4.2% with the electric vehicle marker slated to report earnings after the bell.

The Fed is set to conclude its two-day policy meeting Wednesday and make an announcement in the afternoon. The central bank is not expected to make any policy changes, but investors will look for clues on when — and by how much — the Fed will raise interest rates later this year. Market participants will also look for hints on further steps the Fed will take to unwind pandemic-era aid.

Recent market volatility is unlikely to deter the Fed from implementing as much as four or more interest rate hikes this year.

U.S. stocks are coming off a second consecutive roller coaster session.

The Dow ended the regular trading day Tuesday down 66 points, or 0.2%. However, the 30-stock average was down as much as 818.98 points on the session and briefly traded up by as much as 226.54 points. Those moves came a day after the Dow recovered from a 1,115-point deficit to post a slight gain.

Portfolio:

We enter the new trading session holding positions in DDD, BITO, PBR, and continue to hold itrm.  

Today is all about the Fed.  Patience will be needed and at times might be hard to sit on our hands with set-ups leading into the Fed release, but no reason what so ever to push / force a trade ahead of the Fed.  Unless we see something that can book within hours, it'll be difficult to front run the release.  After that, game on.  Be ready today!  I also cannot stress enough, the best of this market is yet to come.  Let's have a great session.