Traders and investors are proceeding with caution ahead of the upcoming Interest Rate Decision from the U.S. Federal Reserve (FED). The well-publicised announcement is slated to hit the airwaves at 2:00 PM EST, followed by a press briefing from FED Chair Jerome Powell. Volatility will likely be the norm across the forex. Be sure to have your stops down and leverage in check before the statements begin.

For the third day in a row, the U.S. indices have experienced a sluggish open. Nonetheless, both the DOW and S&P 500 are continuing to grind higher. Conventional wisdom tells us that rising interest rates limit economic growth, especially in the small business sector. Thus far, equities players do not seem overly concerned with the FED’s pending move to 2.0%.

S&P 500 Technicals

The S&P 500 is pushing monthly highs in the midst of a defined uptrend on the daily timeframe. For the September E-mini S&P 500, it appears that 2800.00 is the next big round number up for scrutiny.

Here are the levels to watch for the remainder of the session:

• Resistance(1): Psyche Level, 2800.00
• Support(1): 38% Current Wave, 2752.00
• Support(2): Bollinger MP, 2741.00

Overview: Like the DOW, the S&P 500 is trading well above technical support levels. The prevailing bullish trend remains strong, with a test of all-time highs likely in the near future. Unless we see a dramatic shift in sentiment following Jerome Powell’s statements later today, U.S. equities are likely to extend the trend.

For now, the E-mini S&P 500 is in a technical no man’s land on the daily time frame. Topside resistance levels are questionable, while downside support is miles away. After the dust settles from today’s FED activities, we will be in a better position to develop a relevant trading plan.