At 2:00 am on the 19th, Beijing time, the Federal Reserve will announce the latest interest rate decision. The market has three mainstream expectations for this:
1. A 50 basis point rate cut: The probability is 66%, which may trigger a sharp rise in the market.
2. A 25 basis point rate cut: The probability is 34%, the increase may be relatively limited, and the market may experience a shock wash.
3. No rate cut: The probability is low, but if there is no rate cut, the market may fall sharply.
In the face of such a volatile market, there is a historically proven strategy that can help increase profit opportunities, especially when important news is released.
Take the CPI data released at 8:30 pm on the 11th of this month as an example. After the data was released, the market rose sharply first, and then fell rapidly, forming the so-called "Heaven and Earth Needle" trend. In response to this situation, we can use the "second direction" counter-trend trading strategy. In this example, the initial rise in the market is regarded as the "first direction", and the subsequent decline is the "second direction". According to the strategy, after the "second direction" begins to appear, we choose to go long against the trend.
Usually, after this "Heaven and Earth Needle" trend occurs, the price will rebound to the median area between the high and low points. Therefore, when the market falls in the second direction, you can make a profit by going long and waiting for the price to rebound to the median.
This strategy has a historical winning rate of up to 90%, especially suitable for violent fluctuations caused by news. Instead of complaining about market fluctuations, it is better to use this method to deal with it, especially before the release of the Federal Reserve's interest rate decision tonight, and seize the opportunity to create profits for yourself. I hope this strategy can help more people make wise decisions when major news is released. #token2049 #美联储利率决议公布在即 #加密市场反弹 #新币挖矿CATI