I have slightly revised this minor uptrend line that was highlighted in recent videos to exclude a few of the FOMC-induced whipsaws (shown below on a 30-minute chart). While the trend remains bullish for now, an impulsive break and/or a 30 or 60-minute close below will likely trigger a move down to at least T1 (the first of the yellow uptrend line or the 174.15ish level) & quite likely the T2 zone (170.80-169.70).
Once again, this is only a potential scenario without any sell signals at this time. Watching for a potential (impulsive) break below the minor uptrend line/rising wedge pattern as well as confirmation of the potential negative divergences via a bearish crossover on the PPO.
One development worth mentioning today is the continued outperformance of defensive sectors, with utilities, REITs & telecom (the latter, historically considered a defensive sector) as the top performer of the eleven sectors in the S&P 500. Also note that of the 11 sectors that comprise the S&P 500, all 9 that are trading positive today are doing so on well-below average volume (a sign of non-confirmation) with stark underperformance in the financial sector (XLF), down over 1% on above-average volume.
With that being said, in my book, price action comes first with volume being a distant second so until & unless today’s gains are faded & then some, particularly the gains in the tech sector, Nasdaq 100, today’s gains in the broad market as well as the tech-heavy NDX keep the near-term bullish trend that was in place leading up to yesterday’s FOMC announcement intact for now.