Market Fails to Register Trump’s Optimism

A fresh dollop of stale news from the Fed sent stocks into a swoon Wednesday, but the bullish finishing stroke seems unlikely to dispel whatever has been troubling Wall Street this week. The latest pronouncement from the central bank left rates unchanged but preserved the option of raising them later in the year. It was the final Fed decision under Yellen, not that it matters who’s in charge. The Dow ended the day up a mere 72 points — pretty subdued considering that Trump’s upbeat State of the Union speech polled extremely well in the heartland, garnering a 75% favorable rating.  Regardless, my hunch is that stocks will head lower over the next couple of weeks. I have lowered my downside target for the E-Mini S&Ps to 2789.00, but I’ll revisit the forecast if this Hidden Pivot support gets trounced.