Dow Jones Drops as the Fed Hikes: Support Potential Remains

Dow Jones Talking Points:

– The Federal Reserve has hiked rates for the third time in 2018, and the door remains open for a fourth in December. The bigger item from today was more subjective in nature, as the bank removed the word ‘accommodative’ in reference to monetary policy. The net impact in the Dow has been a slight move lower as the lower-highs from the past week remain.

– The Dow has had an impressively strong Q3, and the idea of some pullback ahead of the end of the quarter makes sense. This does not, however, obviate the bullish stance in the index, and traders can move-forward with eyes focused on support for bullish continuation strategies of a longer-term, bigger-picture nature.

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