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US Fed Cuts Rates For First Time Since 2020

US Fed FOMC decision | New Apple Iphones | Charts of the week

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Market Headlines πŸ‘€ 

  • US Federal Reserve cuts fed funds rate by 50bps today.

  • Apple (AAPL) new Iphones set to hit stores this Friday, here is some initial feedback from early users.

  • Alphabet (GOOGL) wins a major EU court challenge possibly averting a huge anti-trust fine.

  • Alphabet (GOOGL) announces new features for Youtube shorts creators.

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Recap Around the Street 🧠

US Fed and Powell presser highlights from FOMC today:

Source: @StockMarketNerd

CRWD is stuck between a rock and a hard place, finding support at anchored VWAP from the 2023 lows and the August 2022 pivot high, but trapped below most of this year’s price action. Bulls are attempting to dig in exactly where they have over the past year; at a 71x P/E ratio, but $300 continues to be the key level to gain. (Contributed by Jason Krutzky of Trendspider)

RKT is highly sensitive to interest rates, and with the FOMC meeting today we're about to get a clear view of exactly how much traders have already priced in this year's expected cuts. The recent breakout from the flag pattern and the upward curl in the MACD suggest traders are hopeful for another leg higher despite the stock already being up 50% this year. (Contributed by Jason Krutzky of Trendspider)

Despite making new all-time highs yesterday, some traders are weary over whether this rally will continue post-FOMC. So, then, should you sell the rate cut news? Seasonality suggests yes. Over the last two decades, next week has the worst hit rate on SPY, with negative returns 68% of the time. (Contributed by Jason Krutzky of Trendspider )

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Market Preview 🎞️ 

  • Thursday, September 19th: Weekly jobless claims; Existing home sales

  • Friday, September 20th: Quad witching options expiry

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That’s all for this week, folks! We’ll be back around the same time Monday with a curated list of important news, economic data and market highlights. 

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