FED on Hold, Time to Roll

It is going to be 100 degrees here on Thursday, WOW!

How is This Going to Go?
iBankCoin headmaster, The Fly, had an interesting post up last night that I did not see until this morning:
ATTENTION BLOGGERS: I’m Handing Out Traffic
The Fly says to drop a link an he will check your site out. I was at work and I cannot sign onto things there so I was thinking I would be late to get a chance for Fly to drop his smackdown on my humble site. I was in luck, my man chessNwine left a link to this site in the comments! I am a bit nervous to see what happens, I have not been writing too many trading posts (waiting for my moment, details below) so I have no idea what is going to happen. It should be funny as hell no matter what.

Update:
Wowza, at least I got a B-:

Economic Disconnect: Okay, the site design here is atrocious and the author is clearly just blogging for fun. Sifting through the articles, I’m guessing he is young and somewhat interesting. He is definitely too much all over the road. If he wants to take his little bloggy to the next level, he will need to focus on a theme and run hard with it. Otherwise, it will end up in the circular file. Grade B-

Ouch.

In case I get a bunch of views tonight, here is a post a bit more financial centered about calling the top (for nervous traders) in silver and gold:
When to Sell Gold and Silver

Trade Your Plan
Based on market action and my years of FED watching I detailed a plan for the end of QE 2.0 and the recent slowing of all data on the economy. That plan is found in this post, Short Takes, and I have had graphs up showing the targets for the S&P 500.

I figured the FED would sound out loud that they are off QE mode yet still keeping rates at zero. Bernanke made his speech today (I thought it was supposed to be yesterday, sorry about that) and he signaled very clearly the FED is not rolling out anything new at this time. Some thought the FED may open up the idea of more help (in whatever form) but it just does not work that way. They had to do this and I was counting on it to open my short trades.

The only thing missing was that I wanted a bounce in the S&P 500 to the 1300 level, but markets tanked at the close when news spread of the FED speech. What can you do.

Here are the two charts (click for larger view) for the short ideas I am going with. S&P 500 Short Fund SH:


The Nasdaq Short Fund PSQ:


Both SH and PSQ have just broken out of a long term channel. I am looking for a pullback (markets go up) and then will try to enter.

Everything is just too high and too hot for any intervention right now. It is going to take more bad data, not just on housing, and a fearful market to get the FED involved again. This should not be a fast move. Congress will be unable to offer anything and that leaves the FED once again. Long summer ahead. I am allocating two positions to these stocks. This does not mean I am not looking for long ideas, I am, but these two have been an idea I have had for a while. We shall see.

Have a good night.