On third Friday of March, June, September and December, most options and futures expire. Already today there will be a large quarterly expiration, popularly called "Quadruple Witching", In total there are 4 of them per year (at the end of each quarter). In last hour of a trading session, trading volume and market volatility usually increase sharply.
💫 As a rule, this is followed by a medium-term trend change or strengthening of the previous one.
Since March expiration, SP500 has grown by as much as +10%! Almost 90% of this growth was provided by just few companies: NVDA , MSFT , AAPL , TSLA , META . And since beginning of year, it has grown by +15%, that is, there has already been an increase in the growth trend. The whole quarter went up. For your convenience, I put the witches on chart. The picture clearly shows that magic happens on “witch days” and medium-term extremes of market 🪄
There is extreme greed in USA market right now - the perfect moment for a market reversal! At such moments, unjustified pumps are visible in some unprofitable companies: SPCE , AI , etc. If you are stuck in these papers, now is a good time to sell.
But from next week you can already start wearing shorts, summer is coming ☀️🩳 Now, the US Ministry of Finance and FED are also playing on side of the bears, which are withdrawing liquidity from the market. Market reversal is 99% ready ✅
🎯 Targets for a set of medium-term long positions: 4000p, 3800p.
You can find even more profitable ideas in the profile header 🎩 If you are interested in analysis of any other asset - write in the comments and I will do it.
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