P
Loading
47 High Impact Event
Trading FOMC Rate Decision & Press Conference on Prop Firms
The Federal Open Market Committee (FOMC) meets eight times a year to determine US monetary policy and interest rates. The release consists of two parts: the initial rate decision and statement at 2:00 PM EST, followed by the Fed Chair's press conference at 2:30 PM EST. This two-part event creates the most complex and volatile trading environment in the financial markets.
The Two-Part Move
The market reacts instantly to the rate decision at 2:00 PM, but the real, sustained trend usually begins during the press conference at 2:30 PM when the Fed Chair speaks.
The Dot Plot
Four times a year, the FOMC releases the Summary of Economic Projections (the "Dot Plot"). This often causes more volatility than the rate decision itself.
Wide Stop Hunting
During the 30 minutes between the decision and the press conference, price action is extremely erratic. It is common to see both sides of the market get stopped out.
Release Info
Region: US | Frequency: 8 times per year (Every ~6 weeks) | Usual Time: 14:00 EST (Decision) / 14:30 EST (Presser)
Find Your Perfect Firm47 Results
| # | Firm | Rating | Actions |
|---|---|---|---|
1 | FTMO 19/10% off | 4.8 | |
2 | 4.8 | ||
3 | 4.6 | ||
4 | 4.8 | ||
5 | 4.8 | ||
6 | 4.2 | ||
7 | 4.8 | ||
8 | 4.4 | ||
9 | 4.6 | ||
10 | 4.5 | ||
11 | 4.5 | ||
12 | 4.5 | ||
13 | 4.7 | ||
14 | 4.7 | ||
15 | 4.8 | ||
16 | 4.6 | ||
17 | 4.5 | ||
18 | 4.5 | ||
19 | 4.5 | ||
20 | 4.3 | ||
21 | 4.3 | ||
22 | 4.4 | ||
23 | 4.5 | ||
24 | 4.8 | ||
25 | 4.4 | ||
26 | 4.5 | ||
27 | 4.6 | ||
28 | 4.4 | ||
29 | 4.4 | ||
30 | 4.5 | ||
31 | 4.3 | ||
32 | 4.4 | ||
33 | 4.5 | ||
34 | 4.6 | ||
35 | 4.7 | ||
36 | 4.4 | ||
37 | 4.4 | ||
38 | 4.7 | ||
39 | 4.6 | ||
40 | 4.5 | ||
41 | 4.5 | ||
42 | 4.4 | ||
43 | 4.5 | ||
44 | 4.6 | ||
45 | 4.4 | ||
46 | 4.5 | ||
47 | 4.5 |
Frequently Asked Questions
Does the FOMC press conference count as a restricted news event?
Most prop firms restrict the 2:00 PM rate decision. Some firms also restrict the 2:30 PM press conference start, but restrictions usually do not cover the entire 45-minute speech.
Why did the market drop when rates were cut?
Markets price in expectations weeks in advance. If the Fed cuts rates but the accompanying statement is "hawkish" (indicating fewer future cuts), the market will sell off.
Is it safe to hold swing trades through FOMC?
Only if your stop loss is very wide (100+ pips) and your position size is small. FOMC can easily trigger 150-pip whipsaws that will stop out tight swing trades.