Friday was a difficult day for me. The market seemed to irrationational in a logical way.

Last week when Cramer came and talked on video about how hedge funds manipulate the market, people seemed shocked. im Cramer described in a Wall Street Confidential segment on The Street.com, how hedge fund managers basically juice the market to close out their quarters in good positions. Well, IMHO, that is what happed on Friday.

You can read more a the WSJ, Painting the Tape, My Money Blog, and Trader Mike.

In the morning when good news hit the street, the market did not go up. We had some bad news and the market fell. Funny thing, in the afternoon the market started to rise on light volume. Just like Thursday. Hmmm. Could it be that the funds were trying to “window dress” before the end of the quarter. I suspect so.

In the after noon on Thursday and Friday, the market went steadily up. Strangley so considering the news that was on the street.

Of course we do not have any evidence of market manipulation, since that would be illegal. Cramer’s words do ring a lot truer these days.

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This entry was posted on Saturday, March 31st, 2007 at 2:47 pm and is filed under Index Trading, Option Trading.