Triple witching hour

Most traders will spend this week buying a market that keeps making new high, and there's nothing usually wrong with that, but the week after September's triple witching has finished higher eight times out of the last 36.

So which side of that 22% seasonality are you on? Because the index is defying gravity while fewer and fewer stocks are just holding that line every single week.

So the index has been made aware of the participation figures and once again has elected to just carry on going up regardless.

Jeff Hirsch and the team there at Almanac, Stock Traders Almanac, again put all this data together.

So again, this is all kudos to you.

So what we can see here is the expiration triple witching wrapped up on Friday.

And the Almanac has a reminder about what usually follows.

So the week immediately after September's quarterly expiration has historically been one of the weakest stretches of the month.

morning everyone welcome to this morning's edition of the nbc markets morning call it's monday happy monday philip happy monday mark happy monday everyone um and you know in the theme of what we're sort of thinking um we've actually yeah blue and red we've matched um phil's obviously a little bit more bearish than me in his red shirt um look triple witching which is all the options expiries um in the s p it was quite witching but they don't do a lot of volume the single stock futures but i mean So, you know, you had index stock and futures and stock, you know, indices and everything all expire on Friday.

$7 trillion in options expiry, one of the largest on record, according to Citadel.

And so basically we had, you know, the market didn't really go anywhere, to be honest.

I mean, look, not much to really talk about, I guess, in the indices overall.

But, I mean, we will loosen up this week.

Traditionally with that triple witching, it used to be really volatile on the day.

Now it tends to be a little bit more volatile on the week after.

Bond yields back about 5% in the 10-year yields.

A wild triple witching Friday, the 10-year yield back above 5%, and the first Fed hike in three years in the books.

Time for the big weekly wrap.

Hey everyone, it's Saturday morning, September 19th, and welcome back to Capital Markets Quickie.

Learn more about our funds and strategies at amf-capital.de. Alright, let's get started.

So, the finale of this historic week was a choppy one.

It was Triple Witching Friday, the quarterly exploration of futures and options that always brings heavy volumes and sharp swings.

and the result was a split finish.

The Standard & Poor's 500 edged up 0.2%, the NASDAQ gained 0.4%, while the Dow slipped 0.2%.

Uh, but for the most part, if you're a long-term investor, just sit back and watch it.

I think the, the markets aren't really reacting to triple witching hour.

[chuckles] I think there might be a little exhaustion in the markets in that, uh, we're seeing in the futures minutes before the opening bell, the S&P is basically unchanged.

The Nasdaq is basically unchanged.

Traders are going back in there with both hands this morning, guys.

Oliver, what do we make of VIX with a 15 handle? And what do we need to know ahead of Triple Witch tomorrow?

Great point, Carl.

Busy day tomorrow.

Futures and options will have set expiry dates, and this Friday, this coming Friday, the third Friday of, of September, will be the e-expiry date of a lot of futures and options.

Hence, it's called the triple witching for, I believe, uh, options, index, and stock futures.

Those, those would be the three.

And what this will do is potentially cause a bit more volatility than we would otherwise expect because the market participants who sort of sit and quote unquote "deal" or make markets in these instruments will need to go into the actual underlying common stock market to, to balance their books or hedge their positions.