Yes You Can... Cash In On Chaos!


April 15, 1999

This was an interesting week, thanks to the New Moon. The S&P rallied, then dropped sharply. Random events? Hardly. It was all MoonTides caused by the New Moon.

I emailed the chart below to TOMORROW'S MARKET EMAIL clients Monday evening. It was produced by the MoonTide program. It shows the 6 day filtered version of the MoonTides, MTZD6. It showed that the rally of Monday would probably collapse by Thursday.

Yes You Can... Cash In On Chaos!

And this is how things turned out. Was it Taxpayer's Panic? No, just the Tides at work. The Tides are real, physical things. They exist in the Earth's electric field. These Tides cause surges in the electric currents flowing from earth to sky, which in turn cause emotional surges in traders. So they trade emotionally. I compute these waves as MoonTides.

Yes You Can... Cash In On Chaos!

So what changed on Tuesday? This chart from Chaos Trader-RT gives the answer. It shows 3 days: Monday, Tuesday, and Wednesday. The green line is the +MoonTide.

Yes You Can... Cash In On Chaos!

On Monday, the New Moon (yellow line with black ball) had just "entered the market." But the Quarter Moon (yellow line with half-black,half-yellow ball) was still "in the market." The result was a "Moon to Moon" rally. The rally began on the up-sloping +M270 electric field flux line, and rallied to the down-sloping -M000 electric field flux line.

The Quarter Moon "left the market" on Tuesday, leaving the New Moon to turn the market down. The -M000 down-going flux line acted to push prices down. On Tuesday the prices dropped to the Natal Node electric field flux line, then began a rally.

That rally topped right at 1368 early Wednesday. Just before the open the Moon flux lines "crossed over." Prices did a "energy band gap jump" down to the crossover level of the +M270 and -M090 flux lines. Later in the day, the decline continued, with another "band gap jump" almost down to the the upcoming +M180 flux line.

The decline continued into today, Thursday, shown in the chart below. The decline made a low just after the New Moon, at solar noon. Then the market rebounded.

Yes You Can... Cash In On Chaos!

Since traders are all effected by the same current surges, it makes it difficult to trade un-emotionally. The tides ARE the emotions. So one must work in developing trading discipline. Or, one can work on removing the human from the trading system. Eventually, I will do that. My computer will do ALL the steps in the trading process. By understanding the physics of the S&P, I am learning to design trading systems that trade a particular physical phenomenon. With the advent of online trading, one can even trade very short swings. The E-Jude system shown here trades the "rumble of the rotating earth" that is modeled by XTIDE. It had a pretty good day. And E-Jude never tired, hesitated, or second guessed himself.

All this progress has come from studying how the markets really work. If you want to earn, you have to learn.

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