TMAD Update: Trade Setups & Rate Hikes
Hi everyone,
The FOMC minutes released today have fundamentally shifted the narrative. A growing number of Federal Reserve officials are concerned that inflation is becoming entrenched, with many now openly discussing future rate hikes if price pressures don’t cool.
This directly challenges the market’s long-standing assumption that the next move would be a cut. When you combine hot inflation data, record consumer credit, and a hawkish Fed, the risks we’ve discussed are no longer theoretical—they are the new reality.
Despite the macro headwinds, two factors may provide a temporary cushion this week:
Memorial Day Weekend: With the holiday on the horizon, many participants will step back early, potentially thinning out sell-side volume.
Geopolitical Hope: Speculation is rising that President Trump may move to formally end the Iran conflict. Any official signal here would provide a massive, albeit perhaps temporary, lift to sentiment.
NVDA earnings are behind us crushing Wall Street estimates with record revenues of $81.6 billion (an 85% year-over-year increase) and adjusted earnings of $1.87 per share. The company also announced an $80 billion stock buyback program and raised its quarterly dividend to $0.25 from $0.01.
We can see call surge on SPY and QQQ but noth indexes are close to a resistances. SPY next target is $748-$750. (Please see our proprietary scanner at TMAD.app all our paid members have access to, you can use your email to sign up).
SPX Levels
SPX retested a bit below 10DMA and we see a book perfect flag retest and breakout.
Resistance: 7,500 / 7,600
Support: 7,410 / 7,400
