Peace suggestions Tuesday. Carpet bomb threats Wednesday night. Oil +6.22%. The Mr Miyagi market strikes again.

What an absolutely shit show.

I’m paraphrasing. But that seems to have been what happened.

I think future generations will call this the Mr Miyagi period.
Risk on. Risk off. Risk on. Risk off. One session of peace suggestions.
One speech that rewrites the threat entirely. The consistency is the inconsistency.

Anyway. The markets.

Just call me Ross – “we were on a break.” It certainly seems like a good idea. When in doubt, do nowt.

Yesterday’s rallies to lower highs seems to have been a prediction come good. Will it sustain? The main frustration is the speed of movement over what is seeming to be regular black swan mini events.

The index action remains a spectator event for me. Not looking for anything new. I have two bear swings that went underwater during the relief rally and were not worth closing. With the turnaround moves and subsequent overnight futures move I have now reclaimed two profitable bear swings.

My blood pressure is making new highs.

No Premium Poppers again for me – spent a lot of time coding some new ideas and improvements.

And as Good Friday is being observed and markets closed, I am thinking I might just take it easy today as well. I will check things as usual at the opening bell – but c’est la vie – we will see what we see when we see it.

Right now it is far easier looking back on yesterday to determine what could have or should have been done. And I typically like to know what I am doing before I place a trade, not what I should have done after the fact.

Weird fucking market conditions. The speed of movement is not helping me at the moment. Although with the benefit of hindsight, the Premium Poppers are still working out.

Maybe this is my subconscious telling me to take a break. I have been quite aggressively day trading most of the year so far. The long weekend may be the opportunity to power down and not do much.

Anyways. One more session. Then a long weekend.

Market Briefing:

Thursday 2 Apr – last session before Good Friday.

• Wednesday closed: Dow +234 pts to 46,575 / S&P and Nasdaq also higher / Industrials led – Boeing +4.25%, Caterpillar +3.11% / Nike -15.32% on weak guidance

• Trump spoke Wednesday night:

  • Iran’s core objectives described as nearing completion

  • Then the threat: hit Iran extremely hard within two to three weeks

  • April 6 deadline: reopen Hormuz or face strikes on power plants and desalination facilities

  • Told US allies to reopen it themselves

• Overnight: futures crater / WTI +6.22% to $106.35 / Gold -3.13% to $4,662 / VIX +8.35% to 26.59

• Data: ADP printed 62,000 Wednesday (beat 42,000 consensus) / February retail sales +0.6% beat / NFP releases Friday while markets are closed / Monday opens cold

• Thursday read: spectator session for indexes / two bear swings reclaimed profitable overnight / no new entries / might take it easy at the open / long weekend planning

Market Snapshot

• ES: 6,539.50 / -77.75 (-1.17%) / Wednesday’s peace rally fully reversed

• YM: 46,328 / -497 (-1.06%) / Boeing and Caterpillar gains being returned

• NQ: 23,826.25 / -361 (-1.49%) / tech extending losses

• RTY: 2,486.00 / -42.80 (-1.69%) / back toward range lows

• GC: 4,645.60 / -139 (-2.91%) / rotating into crude not safety

• CL: 107.89 / +8.98 (+9.08%) / oil heard the speech first

• VIX: 26.62 / +8.52% / elevated / weekend gap risk

• BTC: 66,434.55 / -2.46% / Drift DeFi attack confirmed / $200M+ leaving protocol

Tag ‘n Turn

Two bear swings that went underwater during Tuesday and Wednesday’s relief rallies have now reclaimed profitable territory on the overnight futures move. Still bearish on both instruments. Not looking for anything new today. Spectator session.

The Mr Miyagi market has done it again. Peace suggestions. Carpet bomb threats. One session of relief, one overnight session of reversal. The two bear swings that went underwater during the relief rally were not worth closing at the lows – and with the overnight futures dump following Trump’s speech they have now reclaimed profitable territory. No new entries. The index action remains a spectator sport. With Good Friday tomorrow and NFP releasing into a closed market, the weekend gap risk is extreme. Standing aside is not confusion. It is the correct read.

SPX Analysis

Bearish. Two bear swings reclaimed profitable. Target 6,292. Not looking for anything new today.

Price closed Wednesday at 6,575 on the peace rally. Overnight futures are back at 6,539 following Trump’s April 6 ultimatum. The TnT target of 6,292 is back in play after the overnight move validates the original bear case. The relief rally produced the lower high that was anticipated. The speed of movement between those two data points in a single 24-hour cycle is the Mr Miyagi problem in miniature. The chart is right. The timing is unpredictable. Standing aside while the position works.

Current Status: Bearish Below 6,593 / PFZ 6,609 / Target 6,292

RUT Analysis

Uncle Russell also reclaimed profitable on the overnight move. Target 2,382. Same read – spectator session, not looking for anything new.

RUT pushed toward 2,535 during the relief rally before the overnight futures move brought price back toward 2,512. The TnT target of 2,382 is the operative objective. The two instruments are aligned – both bear swings went underwater, both have now reclaimed profitable territory on the Trump speech reversal. Watching the position work rather than adding to it in a weekend-gap-risk environment with NFP releasing into a closed market.

Current Status: Bearish Below 2,532 / PFZ 2,540 / Target 2,382

Post Trade DeBriefing – 1 Apr 2026

SPX: No popper trades. Spent the session coding new ideas and improvements. That is also productive work.

Rounding Off

April Fools, But Not A Joke Trump’s 9pm address confirmed Iran’s core objectives as nearing completion and then immediately issued the hardest threat of the conflict – hit Iran extremely hard within two to three weeks, April 6 ultimatum, Hormuz or face strikes on power plants and desalination facilities. Peace suggestions Tuesday, carpet bomb language Wednesday night. The Mr Miyagi period. Risk on. Risk off. Future generations will name it. The market’s reaction was unambiguous: WTI +6.22%, VIX +8.35%, futures -1.14%.

Good Friday, Dark Monday Today is the last trading session before Good Friday. NFP releases tomorrow while equity markets are closed. Consensus is +50,000 versus February’s -92,000. The weekend gap risk is extreme – NFP number, April 6 ultimatum expiry, equity markets dark. Monday opens cold with no session to process any of it in real time.

Nike And The Consumer Nike crashed 15.32% Wednesday on weak guidance – Gulf supply chain exposure, currency drag, demand softness at $4 gasoline. ADP printed 62,000 beating consensus but job openings remain at six-year lows. Goldman Sachs now expects no Fed cut until September. The consumer is the next domino after the energy shock and the labor market have said their piece.

The Long Weekend Blood pressure is making new highs. The subconscious is sending memos. The aggressive day trading pace of the year so far has been relentless. The long weekend is the opportunity to power down, not do much, and come back Monday with fresh eyes. The market will still be there. The April 6 deadline will either have resolved or escalated. Either way, Monday’s open is the moment of clarity.

Current Status: April 6 deadline four days away / NFP Friday into closed market / Monday opens cold / two bear swings reclaimed profitable / long weekend incoming

Expert Insights

The specific application today: the index action is baffling in its speed and the reversals are coming faster than any systematic read can comfortably process. Going fishing is not giving up. It is the correct response when the market is moving faster than the signal can confirm, when weekend gap risk is extreme, and when the subconscious is already sending memos about rest. The two bear swings are profitable. The small account nibble on gold is live. The coding is done. The long weekend is next. Livermore knew when the fishing was right.

[Source: Jesse Livermore – widely attributed, documented in Edwin Lefèvre “Reminiscences of a Stock Operator”
context and Livermore’s own writings – public domain]

1 – Trump’s speech introducing strikes on power plants and desalination facilities as the stated consequence represents a specific escalation category beyond the conflict’s prior threat framework. Previous threats targeted energy infrastructure – refineries, export terminals, the Strait itself. Desalination is civilian infrastructure. [Source: White House public briefing, 1 April 2026, public | Geneva Convention framework on civilian infrastructure, ICRC, icrc.org, public]. The introduction of desalination facilities as a stated target changes the international legal framing of the threatened action and raises the humanitarian stakes of any strike beyond the oil supply calculation. Markets priced the energy component. The humanitarian escalation category has not yet been priced.

2 – NFP releasing Friday into closed equity markets creates a specific price discovery gap that Monday’s open resolves with no intermediate session. The February print was -92,000 – the first negative monthly print since 2020. [Source: Bureau of Labor Statistics, February 2026, bls.gov, public]. A consensus miss of +50,000 in the context of ADP’s 62,000 print and six-year-low job openings leaves the Moody’s 49% recession model with one more data point to process before crossing 50. Monday’s open prices all of: the NFP number, any April 6 escalation development, and the weekend’s war news simultaneously. The weekend gap risk is the highest of the conflict so far.

3 – WTI at $106.35 following Trump’s speech reinstates the full stagflation trade that Tuesday’s peace signal had begun to unwind. Goldman Sachs now models no Fed cut until September. [Source: Goldman Sachs economic research, public, April 2026 | WTI crude price data, public]. The 24-hour sequence from peace signal to carpet bomb threat has produced a full round-trip in the stagflation pricing. The Fed is frozen, the oil shock is reaccelerating, and the April 6 deadline sits inside the critical SPR-runs-dry-mid-April window. The convergence of those three events in one calendar week is the highest-density risk cluster of the conflict.

Fun Fact:

The Mr Miyagi “wax on, wax off” scene from The Karate Kid (1984) has become one of the most cited metaphors in trading psychology – the idea that discipline and pattern recognition practiced in one context translate invisibly into mastery in another.

The specific “risk on, risk off” variant in markets describes the tendency for asset classes to move in coordinated waves driven by sentiment rather than fundamentals – a phenomenon that became markedly more pronounced after the 2008 financial crisis as algorithmic trading and passive fund flows amplified correlation across instruments.

When every asset moves together in one direction and then reverses together in the opposite direction within 24 hours, the Mr Miyagi market is working at full capacity.

[Source: The Karate Kid, Columbia Pictures, 1984, public | Risk-on / risk-off framework
– widely documented in financial literature post-2008,
various sources including BIS Working Papers and Federal Reserve research – public]

++++

Trade well,
T2 Markets

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