Many people are saying that Japan's interest rate hike is finalized today, and they're waiting for a sharp drop to buy the dip. However, based on the past patterns of Japan's interest rate hikes, there usually isn't a sharp drop or a massive plunge on the day of the hike. Instead, it usually happens gradually over several days because the climax of Japan's events is delayed. Next week is the key. If you're thinking of buying the buy the dips today, you might fall into a deep pit. Moreover, this market movement won't be instantaneous; it won't be a sharp drop followed by weeks of continuous upward movement. It might be a rapid drop on the first day, a quick recovery, a slow decline to the lowest point of the drop, and then a slow rebound, lasting about three to four weeks.
For today, the short-term strategy is the same as yesterday: sell on rallies during the day and take profits on dips in the evening. Those with a cost advantage can take partial profits on each short position and add to their positions on rallies…
