7/13/2011 FED Testimony (0400 HI time / 1000 EDT)
SPIKE WITH 2ND PEAK
Started @ 98.14
1st Peak @ 98.54 – 0402 (2 min)
2nd Peak @ 98.68 – 0407 (7 min)
Reverse to 98.39 – 0411 (11 min)
Notes: FED Chair Bernanke Testifies on the semi-annual monetary policy report before the House Financial Services Committee. Caused a healthy spike, 2nd peak, and minimal reversal. After seeing the two candles 0407-8 hit the 200 SMA and retrace, I would close out at the 200 SMA. The typical influence of these reports runs out at 20-30 min, but in this case the oil inventory report follows at 0430 causing pre-report speculators to increase the volatility.