FOMC Meeting Minutes lead the way

The FOMC Meeting Minutes come out during the session today, and we believe it will be the biggest mover of markets in general. After all, it could give us a bit of a “heads up” on how quickly the interest-rate will rise in the United States. With that, we think that this will be a very US centric type of session.

USD/JPY sitting still

We believe that this pair has been sitting still in expectation of the FOMC Meeting Minutes coming out during the day. We believe that short-term pullback should offer call buying opportunities as the 124 level continues to offer support. We believe ultimately that this market will try to break above the 125 handle, but we may have to do a little bit of momentum building in the meantime. Ultimately, we believe that the market breaks out and goes much higher. We are call buyers only.

S&P 500 well supported below

We believe that the S&P 500 is well supported below, and quite frankly we look at pullbacks as value. We are buying calls at lower levels, as the 2100 level has offered a bit of resistance. With this, we believe that all the way down to the 2080 handle there is enough support to keep this market afloat, and therefore we are buying any signs of a bounce.

Silver markets fall apart

Silver markets fell hard during the course of the session on Tuesday, slamming below the $15 handle. Because of this, we believe that any rally at this point in time will be a nice selling opportunity and therefore puts should be bought. We believe that rallies will struggle going forward and we are eventually going to head back down to the $14.50 level.