To gain an edge, this is what you need to know now.
Hawkish Powell
Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).
Note the following:
- In the Morning Capsule, we shared with you that there was angst about Powell’s testimony.
- In the premarket, stocks were being sold and the VUD indicator was orange, indicating net supply of stocks.
- The chart shows when the text of Powell’s testimony was released.
- The chart shows that it was a “buy the news” reaction.
- Powell’s testimony was hawkish, but it did not matter once the buying started.