Written October 10th, 2001
Yesterday the market went nowhere. Today it screamed higher. Have you ever asked yourself, "Why do markets do that?"
The answer is that market are chaotic. Chaotic systems have at least two solutions. In the market, there are two forces, the buyers and the sellers.
The key to chaos is understanding balance. When two competing forces match each other, they cancel, and the market goes nowhere. When the balance is broken, the market moves chaotically to a new balance point.
These balance levels are not arbitrary. They can only occur at certain prices and times. That is because these balance levels are balance levels in the earth's electric field. That field is created by many planetary electric fields adding together. Knowing where these fields are and how they add together can be a great aid in trading. This chart shows one example.
This is a chart of the S&P 500 futures for Oct 9th and 10th, 2001. The 9th was a balance day, and the 10th was a chaotic day. So what make the difference? Follow closely and learn the answer.
On the 9th, prices were trapped between the Saturn and Pluto electric field flux lines at A and the Jupiter/Sun/Mars electric field flux lines at B. The +M180 Moon flux line was aiding B.
But that flux line crossed B overnight, as shown at C. You can see the Jupiter/Sun/Mars time cluster at E. This is where the Exchange lines up with these planets. Note that the vertical yellow line with the black and yellow ball is APPROACHING this time cluster on the 9th. The black and yellow ball is the quarter moon.
The inverted MoonTide is shown at D. It called the highs and lows on the 9th, but the amplitude was less than forecast.
That changed on the 10th, when prices shot higher along the red MoonTide. That Tide had a large change overnight. Prices actually moved just after the open, starting at G, on the -M000 Moon electric field flux.
When I saw prices dip below G, to 1056, I placed a buy stop at 1059, thinking prices could be attracted to H, at 1065, where the Moon +M180 flux crossed the Jupiter/Sun/Mars electric field flux lines. My stop was hit, I protected at 1056, and cashed in on chaos at 1065. My plan for today was to quit if I made a quick 6 points, so I did. That gave me the rest of the time to just observe the energy fields in action.
After passing the +M180 Moon flux, prices continued until stopped by the -M270 flux at J. That resistance lasted about an hour. Then the Moon's Node, shown by the vertical white line, added energy, bringing price above the Moon flux line, up to the Node flux line at L. That's when Satan showed up.
Satan is Mercury. Today, we had Mercury conjoining Sun, squaring Moon, Jupiter, and Mars. After the Exchange passed the Quarter Moon and Mercury at F,prices rallied to the Sun/Moon/Mars/Mercuy flux bundle at M.
The move was over. During the last 40 minutes the market rebalanced at this flux bundle.
So the balance level was stable on the 9th, the Moon tipped the balance on the 10th, and a new level was reached. The Moon is not a butterfly, but it works the same. I'm sure you've heard the example in chaos theory that a butterfly flapping it's wings in Brazil can change the weather in Chicago.
It's all in the physics. If you know what's going one, it does help your trading. You have to learn, to earn (hint-Cash In On Chaos course is a great place to start).
So the next time you see a dull day like the 9th, ask yourself, "When's the butterfly going to flap it's wings?"