Thursday, March 21, 2013

Harvest Time?


I've been missing my little subsistence farm from Belgium.  Living in NYC with very little window space, it's definitely difficult to do any meaningful gardening.  That's why we have to pay $4.99 for one (repeat: one) pineapple at FreshDirect!  

Anyway, I planted a tiny bit of chervil in January and was finally able to do a small harvest yesterday, turning the good cup full of fresh, organic chervil into a rather yummy bowl of chervil cream soup garnished with truffle butter.  

The market indices, similarly, have been growing in a tiny pot since last October.  Whilst Bernanke has been the ray of sunshine providing sustenance necessary for market stability, cash flowing into the market has been flatlining for some time.  Is this a tempest in a teapot or will there be a drought oncoming?  Is it now harvest time?  

Nothing drives volatility more than uncertainty and if too many people have been buying market insurance in the form of puts, it'll be difficult to make money.  I've been killed twice by attempting to swim with the big sharks - i.e., too much open interest.  The big money guys who are able to sell naked calls will do so and come in to sell puts to boot when feeling especially bullish.  

How will a tiny ForexDiva survive under these trading conditions?  I've got to find my niche and will have to spend all weekend being agnostic with the market gods about this.

-0.50% SBA
-0.34% Roth IRA

-0.62% DJIA
-0.97% Nasdaq
-0.83% S&P 

-0.69% FTSE
-0.68% Eurofirst
+1.34% Nikkei
+0.30% Shanghai

-1.12% WTI
-1.40% Brent
+0.27% Gold
-0.41% Copper
+0.14% Corn

+10.02% VIX
-1.62% DJT



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