THE WAITING HUSTLE

                                         Waiting For The Fed

As if low volatility isn’t enough, markets are waiting for the release today of Fed minutes to give some kind of clue whether or not QE3 is in the works.

We came into the start of the day in “buy mode” Last nights action in Asia was almost non-existent, with very little interest in a closed Holiday session. Europe got going with some light selling that put today’s range in, and since about 5:00 AM [Chicago time] action in gold can best be described as choppy. Since 8:00 AM [Chicago time] we are in “sell mode”. Then, out of nowhere, we get the obligatory short-covering rally to shake out those who thought they could go into the Fed report with a winning short position. Chop-chop at its best.

With a change in intermediate trend, volatility low, and markets positioning themselves for the Fed at 1:15 PM [Chicago time], it should be no surprise we had no activity today. Tomorrow is another day.

Have a good day everyone.

-vegas