Events Updates - Immediately after FOMC

As expected, the market made dramatic moves after the FOMC results. Immediately after the FOMC results, the following moved as much as:

• QQQQ +$0.88
• S&P Index +32.08 points
• Dow Jones 30 +133.35 points

All the above closed towards its session high.

How did I play?

When the news was out, I interpreted that the FOMC would be "data dependent" in raising interest rate (as I expected, as such should not be good news). However, the market treated that as good news and pushed the stocks up. So as the QQQQ retraced back after the rally, I bought the QQQQ Aug 39 Put (in-the-money) thinking that the market had overextended itself. However, the market rally further. My trade was negative for the next 2 days (30/6 - last day of the 2nd Quarter & 3/7 - half-day due to pre-Independence Day holiday). As expected, the QQQQ corrected itself thereafter. The extensiveness of the 29 June rally was partly due to fund managers trying to pruce up their portfolio before the end of the 2nd Qquarter. Closed my QQQQ on 10 July after the QQQQ bounced off its 52-week low. Made 44% over 6 trading days.

- PersianCat04 (Millionaire-in-progress)