Fed's Warsh: I Will Not Allow Inflation to Rise Above 2%

The news indicates that the Fed will maintain its tight monetary policy stance, which could put pressure on growth stocks. However, GOOGL's technical indicators show a strong uptrend; the RSI at 63 is not approaching overbought territory, and the MACD is positive above its signal line. The recent 4.8% gain and trading above the 20/50-day moving averages suggest momentum could continue in the short term. The contradiction between the Fed's hawkish rhetoric and technical strength does not provide a clear directional signal. Therefore, I expect a sideways movement in the near term.

The news indicates that the Fed will maintain its tight monetary policy stance, which could support the DXY. Technical indicators also confirm the upward trend: the RSI is at 54, in neutral territory but with upward momentum, the MACD is hovering near the signal line, and the price is above both the 20-day and 50-day moving averages. While a continued upward move is possible in the short term, I believe the rally may be limited as the market is not yet approaching overbought levels.

Although the news reflects the Fed's hawkish stance, USDJPY remains in a technically indecisive zone. The RSI is neutral at 50, the MACD is below its signal line, and the price is trapped between the SMA20 and SMA50. Determining a clear short-term direction is difficult; as the market prices in the Fed's message, a sideways trend can be expected unless the 162.40-162.62 band is broken.

Although the news signals that the Fed will continue its tight monetary policy, the technical indicators of the NDX present a mixed picture. The RSI is at 52.6, in neutral territory, while the MACD remains below the signal line. Despite the price being above the 20- and 50-day moving averages, a short-term consolidation may occur following the 2% daily gain. Therefore, it is difficult to determine a clear direction, as the market may have already priced in the impact of the news.