Will the Fed surprise the market today?

28.04.2021

The main event of the day will be today’s announcement of the results of the US Federal Reserve meeting. Many traders are awaiting the Fed’s announcement of a withdrawal of stimulus measures, inasmuch as the United States economy has been showing stable growth over the past 3 quarters. This is true – the economy is showing good growth, but the head of the Fed, Jerome Powell, has always said that it is necessary to wait for stronger data on the labor market in order to think about reducing incentives.

A similar situation was observed in 2013, when throughout the year traders were waiting for hints from the FOMC leaders about the curtailment of incentives and heard this only in December. In my opinion, this year the situation will repeat itself and the Fed will announce its decision only at the end of the year. Against this background, today it is advisable to buy the British pound from the nearest support level.

Investment idea: Buy 1.3867/1.3845 and take profit 1.4000.