The moon causes tides, not just in the ocean, but in the earth's electric field. That causes changes in the electric currents that flow through traders, making them emotional. These emotional swings show up in markets, especially in the S&P 500 futures.
But it's not just moon tides. Underlying the market behavior is chaos theory. This page explains how they fit together.
This chart shows the S&P 500 futures on April 7, 1998. Prices are the red and white candle sticks.
The dotted yellow line A is the moon's positive electric field flux line. Line B is the moon's negative electic field flux line. Line C is another positive moon flux line.
The light blue line at D is the positive MoonTide/S&P. It is the computed reaction of the S&P to the moon's positive electric field. The black line at E is the negative MoonTide/S&P. It is the reaction to the moon's negative field.
Chaotic systems have at least two solutions. Prices will tend to follow one of the MoonTide/S&P lines or the other, or a combination of both. The crossover points between the two solutions is called a "bifurcation point." There are three bifurcation points on this chart, near 10:30, 13:30, and 15:15. On this day, the market switched at each bifurcation point. There is no guarantee that a switch will or will not occur.
The S&P reacts to the aligning with the Exchange. At F, the hollow circle is the full moon. Prices were repelled from the moon line A. At the first bifurcation points, they were repelled upward by the moon line B. At solar noon, prices were balance between the two moon lines, A and B. From there they began a decline into a late now at G. This is where the quarter moon lined up with the exchange. Note how the moon line C sharply repelled prices upward in the last hour of trading.
So the moon flux lines, the MoonTide/S&P, the full moon, and the quarter moon all combined to send prices from full moon(time) and positive moon flux line (price) at F to quarter moon (time) and another positive moon flux line (price) at G. Pretty awesome, isn't it?
Between these two points, the market formed a downgoing Chaos Clamshell. A Chaos Clamshell is a pattern consisting of a straight line and and arc. It is shown in green. Within the Chaos Clamshell, there are an arguable 7 moves. They are shown with the green numbers. Chaos clamshells are discussed in my book of reprints (stock code ALL) and are used in my Cash In On Chaos newsletter. Chaos Clamshells are the public version of the more detailed confidential Hannula Market Fractal taught in the Cash In On Chaos course. The Fractal of Pi is the top secret version taught in the FOP course.
If you want to trade the S&P, you gotta know about da moon, and you ought to know about chaos.
