Just thought I'd pop this one up as it has had a direct impact on a trade I took this morning and wanted to get people's thoughts on it.
With a 25 bp lift from 0.5 to 0.75% for emergency loans, what do people think the impact will be over the coming days?
The trade I took was on the Hang Seng as I thought (damn I hate it when I try and predict things!!) it would jump when Hong Kong opened today following a reasonable lead from the Dow. Obviously the opposite happened when the Fed moved after the close, which was about...5 minutes after I opened my position
I know my lesson needs to be - wait until after the close and posible post-market announcements before making trades like this.
Basically my position is now, I can either close out and take the loss, or hold and see what happens over the course of the day. If it continues to move against me, I close. If it comes back, I hold. A reasonable decision making process??