Powell spoke and the market responded as always 📉📉
Buy the rumor, sell the news
Today Jerome Powell finally took the floor. For days, the market had been moving with a clear expectation: the possibility of a favorable message regarding interest rates, inflation, or the future stance of the Federal Reserve. That expectation was enough to push many assets up before the speech.
And there lies the key that many traders forget:
> The market does not move by the news… it moves by the anticipation of the news.
📈 The phenomenon that repeats with every FED announcement
In the lead-up:
Retailers buy with FOMO.
Social media fills with optimism.
Charts show “bullish” breakouts.
Longs driven by expectation are activated.
When the news finally comes out:
Large funds are already positioned from below.
Profit-taking is executed.
Extreme volatility appears.
And many get trapped at the high end of the movement.
This is not coincidence.
This is market psychology in its purest form.
🧠 Buy the rumor, sell the news: the rule that never fails
This principle exists because it reflects how money truly flows:
✅ The rumor creates expectation
✅ The expectation drives the price
✅ The news releases liquidity
✅ The liquidity allows the big players to exit their positions
When the public enters on the news, the institutions are already closing.
That’s why many times you’ll see that:
The news is “positive”
But the price falls
Because the real movement already occurred before
⚠️ What does this mean for the current trader?
After Powell's speech, the market usually enters a critical phase:
High volatility
Liquidity sweeps
False breakouts
Traps for both longs and shorts
At this point, it’s no longer about who guesses the direction,
it’s about who manages the risk.
Here, two types of traders separate:
The one who chases candles and the one who understands structure, liquidity, and macro context
