Market activity has been sloppy over the past couple of days with anxiety rising as to whether the Fed will cut rates again tomorrow. The decision will be announced around 2:15 PM EST.
Our Trend Tracking Indexes (TTIs) pulled back and are situated as follows:
Domestic TTI: +1.11%
International TTI: -2.72%
We are holding on to some our small positions in emerging countries, Latin America and the Transportation Index along with our Swiss Francs. Our sell stop points are set and will be executed if the markets head south.
My guess is that the Fed will cut 0.25%, but the accompanying statement will be just as crucial. Any unanticipated wording, which might be interpreted as a negative, will most likely result in a sell off, which will send our TTIs back to the lower range of the neutral zone.
I will post an update after the market close on Wednesday.