“FOMC to trigger volatility”

2-Hour Analysis:

Big Picture:As expected yesterday remained Range-Bound. Going into Wednesday on back of “FOMC” event high volatility and manipulative price action can be seen. Traders are advised to remain cautious today as higher ranges could be in play today and potential stop-sweep wicks can be observed.

On Upside 36800-37200 was successfully taken out by bulls which is likely to pave path towards 38300-38800 as next supply region followed by 39600 where EMA 200 2-H awaits price. However on back of volatility a test on Supply Zone 2 (40-41k) cannot be ruled out, which I expect to act as Top for Day.

 On Downside 35450 still acts as first level of support for the day followed by 35-34.2k demand zone. However a much more aggressive price action could be seen today which would head towards recent lows around 32800 to sweep the recent longs and then produce a relief bounce once more towards 37-38k followed by max 40-41k levels.