Trade the Fed: September 17, 2025
Rate Cut Already Priced In… But Can We Front-Run the Guidance?
When the Federal Reserve speaks, the markets don’t just listen — they react. For options traders, that means one thing: opportunity.
Fed Day isn’t business as usual. The morning session is often quiet, but once the 1:30pm ET announcement hits, markets can erupt with volatility.
Whether it’s a surprise rate move or a subtle shift in tone, traders who recognize the signals first are in the best position to profit.
Why Fed Watch Matters for Traders
✅ High-Probability Setups – Fed announcements spark some of the biggest one-day moves of the quarter.
✅ Pattern Recognition in Action – We apply advanced tools like MACD Divergence, Double Tops & Bottoms, and multi-timeframe analysis to spot breakout opportunities.
âś… Real-Time Reaction – Watch UVXY and major ETFs for the first tells of market direction — and potential follow-through trades..Â
Your Edge on Fed Day
Most traders wait and react. We anticipate and position.
By combining volatility analysis with proven technical signals, we look to front-run the market’s response and seize opportunities others miss.
Â
Here's the setups we look for Â
While there's no guarantee we'll see the setups that we know yield the best returns, this is an opportunity to join the master divergent trader, Dale Wheatley for what may be a pivotal day.
Â
VXX 5 minute chart at 2.45pm Â
The VXX had a clear upside divergence at 2:45pm EDT that led to every major market selloff!Â
SPY 5 minute chart at 2.45pm Â
The SPY pushed higher, the MACD was flat indicating a potential move down and confirming what we saw in the VXX.
SPY 485 Puts 10c to $2sÂ
Returns on IWM puts did the best but even the SPY did well. Here's the SPY 485 puts that expired January 31, 2024.Â