Slow and Steady Keeps You in the Race

We are off to a sluggish start in the market this week. However, it is likely the pace of the action will pick up the closer we get to the FOMC, concluding with tons of events Thursday afternoon. 

In the meantime, the small caps in the Russell 2000 Index, below on the zoomed-out 30-minute chart of the ETF, are still grinding towards the apex of a well-defined triangle pattern since the market swoon in August. 

That pattern is widely-watched, though, which should add to the risk of anticipating a true breakout one way or the other. Generally speaking, the price action inside the apex of a triangle is prone to chop and is not a particularly high probability setup for most trades. 

Individually, AAPL is bouncing on strong iPhone sales but I suspect the close it gets to $120 the more likely it is to encounter overhead supply, or resistance, from its high sell volume breakdown over the summer below that levels. Also, NFLX is weak again, but the BABA buzz (see my prior post) is masking some of that news today. 

In my usual Midday Video for Members, I will cover a few inter-market "tells" to keep on watch this week before and after The Fed.