8 hours ago
Trading on FOMC Days
Hello Traders!
Tomorrow we have FOMC with rate decision at 1 PM Central and statement at 1:30 pm Central.
Trading stock index futures on FOMC days calls for a measured, highly selective approach. The market tends to drift into a low-volume 'vacuum' in the hours leading up to the announcement, where exaggerated price moves can occur without conviction. This is not the time to force entries— no trade is better than a bad trade. It's critical to anticipate these zigzag patterns and avoid being lured into false signals. Reducing trading size is one of the smartest ways to manage risk on these days—volatility spikes can magnify both gains and losses, and scaling down helps preserve capital and composure.
Once the FOMC statement hits the wire, the real storm begins. Price action can whipsaw violently as traders digest the language and implications for interest rates. This is when patience pays off. Choosing entry points wisely —often by waiting for post-announcement patterns to stabilize—can mean the difference between catching a favorable trend and getting caught in the chop. Discipline is everything: tight setups, controlled size, and a willingness to sit on your hands if conditions aren't ideal can make all the difference. The FOMC isn't a lottery—it's a test of focus and restraint.
Watch a quick video on CME Fed Watch tool HERE
Possible outlook for the mini SP 500 below viewing the daily chart:
Support and Resistance Levels for major futures for tomorrow below:
Good Trading to all of you!
Ilan Levy-Mayer, M.B.A
Vice President
Cannon Trading Co, Inc. Est. 1988
Toll Free: 800-454-9572
Int'l: +310-859-9572
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Trading commodity futures and options involves a substantial risk of loss.
The information here is of opinion only and do not guarantee any profits.
Past performances are not necessarily indicative of future results.
