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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Moominoid who wrote (71426)	7/6/2005 8:33:51 PM
From: Real Man	Read Replies (1) \| Respond to of 94695

Looks nice! The reality of this market is that it remains options - driven. If these large trades are not placed to support the market by the Fed, the manipulation likely comes from the option dealers. This is completely computerised. This fact actually makes a sharp break less probable than it otherwise would be, and the market much less volatile. However, once a sharp break occurs, the same reason (delta hedging) will make it even sharper. I think we are overdue for one, but then again, predicting it is like predicting a major earthquake.