Fed day is here. Here are important technical levels to watch for stocks, bonds, and VIX

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Frances Yue covers the cryptocurrency market for MarketWatch.

Investors should watch for a few important technical price chart price levels for stocks and bonds, as the Federal Reserve’s interest rates decision due at 2 pm Eastern on Wednesday and Fed chair Jerome Powell’s press conference starting at 2:30 pm, could potentially trigger some volatility in financial markets.

On the other hand, “if policy makers deliver a dovish message and signal the hiking cycle is indeed ‘over’ then a relief rally could see stocks rise rapidly back towards the October highs,” according to Essaye. For Treasurys, if the Fed is hawkish, the 10-year Treasury note BX:TMUBMUSD10Y yield would have the potential to test 5% again. If the note closes Wednesday with a yield above 5%, investors should then eye it in the 5.15% to 5.20% area in the next few weeks.

 

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