Trading at the Intercontinental Exchange (ICE) has been halted due to a power failure. The all electronic exchange feature product are energy futures such as oil and gas. But it also trades some agriculture products such as cotton and wheat. Be curious if these causes an increase in volatility as traders will be forced onto the Nymex, whose crude contracts are not the exact same and therefore not fungible with the ICE contracts. Today is also an expiration for options on May futures and open interest is near record levels. There has been big increase in the 130 strike in recent days. That still seems to far out-of-the money to get there today but someone might try to gun it heading into the close.

The real value of recognizing the reality, and dependability, of cycles to the warrior-trader is knowing that he should plan appropriately for holding on tight during the predictable hard times, and then be prepared to move like hell in the good times. This reminds me of a person on a slow moving merry-go-round that passes by a basket of money once a month. As he passes by the basket on each monthly cycle, he has only 10 precious minutes to grab all the money he can before the basket is out of reach again. The non-warrior simply sits back on his butt complaining about his poverty and lot in life. When the money basket suddenly appears around the curve, he is taken by surprise and only has time to take a few reckless grabs at the money. But the warrior-trader knows that the money (and all other positive, desirable things) will be coming back within reach eventually. He has carefully conserved his energy and resources in preparation for the eventual return of his financial gathering opportunity. And thanks to the laws of Responsibily, Synchronicity, and Manifestation - the more ready and vigilant he i, the faster the Merry-go-round turns and the quicker the money basket comes around!

The financials have taken the wind out of the early positive action. Our old friend Ambac Financial (ABK - commentary - Cramer's Take) is the driving force, as concerns are now growing that after additional writedowns by Ambac this morning, there is a bigger risk that it will be downgraded to less than investment grade and trigger another $20 billion or so in losses at major financial institutions. That is what is pressuring financials. Without a bottom in that sector, buyers are sitting on the sidelines and are not willing to put capital into this market. It doesn't much matter what earnings reports might show if we are still dealing with more debt issues and further liquidity problems.