Today, March 20th, 2009 marks the regular expiration of various options contracts. This regular event makes for high volume posturing and wild market movement.
Of course a major news event can change investors thoughts but usually posturing, rolling out of new option contracts, and various high volume trading techniques causes irregular movements in the capital markets. Some might say this has been going on for a while, and we agree to a certain extent, but for what it is worth, we generally view movements on option expiration days with a skeptical eye.
Next week marks the near end of a quarter, with Friday the 27th leaving only two trading days left in March, and the end of a Quarter. We will discuss end of the quarter posturing later, but many times the end of the quarter leads to an upward bias to the Capital Markets. JK
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Quadruple Witching Today, Not Much Reality in Market Movements
Today, March 20th, 2009 marks the regular expiration of various options contracts. This regular event makes for high volume posturing and wild market movement.
Of course a major news event can change investors thoughts but usually posturing, rolling out of new option contracts, and various high volume trading techniques causes irregular movements in the capital markets. Some might say this has been going on for a while, and we agree to a certain extent, but for what it is worth, we generally view movements on option expiration days with a skeptical eye.
Next week marks the near end of a quarter, with Friday the 27th leaving only two trading days left in March, and the end of a Quarter. We will discuss end of the quarter posturing later, but many times the end of the quarter leads to an upward bias to the Capital Markets. JK
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