A slap on the face.

Wall street has now become a turf ground for betting instead of adhering to the fundamentals.They betted for a full percentage rates cut but got only 3/4,so the losers got hammered.Then again the bookies are capitalising on news of fear by tipping that more credit writedowns are in store for financial companies (guessing which one) despite all the goodies which the Fed's has given..As each day the valuation of companies depreciated,definitely the financial instituitions will not be able to maintain their status quo and soon has to go down under.

Anyway Thursday will again see extensive volatility because of the impact of the options expiration, a quarterly event in which stock index futures and options, and individual stock futures and options, are all expiring at the same time.IT's QUADRAPLE WITCHING DAY.

The expiration day usually occurs on a Friday but is happening Thursday because all financial markets are closed the following day for Good Friday.

The options expiration could brings in some "serious short covering." Short-covering refers to a process by which traders who have sold stock short to take advantage of a falling market have to buy it back.

Tracking the Dow on Wednesday,19.03/08

Plunging gold and oil prices drove energy and mining shares lower, and speculation that Merrill Lynch & Co may need to take more write-downs deflated growing optimism that the credit crisis was abating.

A lawsuit filed by Merrill Lynch against a bond insurer fanned speculation the big broker and investment bank may not have enough protection against losses from its exposure to securities at the heart of the credit crisis. That may lead to more write-downs.The market stinks and sink all the way down right to the closing bell.It's an unshaven black candlestick on the back of a morning star.These guys are planning to short-cover again.

Those Great Suckers have short the market again this time bringing the index right to the previous day's path where Fed has announced the rates cut.He got a big tight slap on the face.So the disappointment to those bets have finally been digested and the turf riders will start galloping again.Wednesday has been the Pivot day of the week and the high has been established so it will be a range play in the following session.