Witches Gathering

UPDATE 10:49am EDT: It’s real busy in the evil lair this morning as it’s quadruple witching day (a.k.a. quadruple options expiry). Every third Friday of March, June, September and December, when the moon is perfectly aligned all of our four food groups – index futures, options on index futures, single stock futures, and stock options all expire together. A truly devious occasion during which female market makers celebrate their black arts by boiling rats like you and me into a thick whipped stew of at low flame. Here’s a live shot from our ‘evil lair web cam’:

I think Helga added too much crunchy frog again – every freakin’ year the same.. But between you and I – she’s wearing a hot red Victoria’s Secret outfit underneath those ragged threads. Yummmieee….

Seriously now – I’m not touching this market with a ten foot pole wearing a HAZMAT suit. Instead I’ll start working on some charts for your weekend consumption. Here’s a little public service announcement: I have promised my subscribers to finally polish up the Zero tutorial over the weekend, so the Sunday forecast will be very short and sweet this time around. But I’ll put something together, and will of course follow up with charts on Monday.

UPDATE 11:37am EDT: Was about to grab breakfast (see stew above), but needed to show you rats this:

This observation was brought upon by someone commenting that ‘we are finally back to where we were before Bernanke’s shenanegans’. Yes, but look at this pattern. I could be wrong but it’s looking like a falling pennant to me, which usually is being interpreted as a bullish pattern. The trendlines of this pattern converge, with both being slanted in a downward direction as the price is trading in a downtrend. Here are some more details for you TA nerds.

As I’ve said – I’m very cautious here – this is not the day to pick a direction. Only play the swings and keep your exposure limited.

UPDATE 12:32pm EDT: BalaB put together a nice little video on his ongoing research to correlate the Zero signal with 2sweeties retracement levels:

For the record – I’m really stunned about the level of community support I’m seeing lately. People are putting videos together, posting tutorials and input on the forum. Good stuff – we’ve got ourselves a real blog going over here.

UPDATE 1:03pm EST: Want to become a billionaire fast but are too lazy to build an evil empire? Well, do I have a solution for you – move to Zimbabwe!

Hat tip to Duuuuuude for sending me this. BTW, I don’t think it’ll ever get that bad over here in the U.S. but I do believe that we’ll be using 50 Dollar bills to buy cups of coffee sometime in the next decade. No, I am NOT kidding. For the foreseeable future (i.e. the next year or so) I think cash is king and the Dollar should be safe, although we will see some weaking in the coming weeks/months. But at some point down the line the Fed’s quantitative easing policy will start catching up with us. But by that time I expect to have completed renovations at my offshore island of doom – no way I’ll be living in L.A. when hyperinflation hits.

UPDATE 3:42pm EST: Nice – looks like I called the bottom (for now) which Zero subscribers enjoyed as an exit point. Everyone – watch the index puts for pinning action – 78 or 77 seems like a logical target.

Also, believe it or not – this weekend EvilSpeculator will be migrated to an even bigger badder server – old HAL is unable to keep up with the current onslaught. This will however triple my hosting cost – so, make sure you obey.

Cheers,

Mole