As the three-day Easter weekend approaches, volume is declining as both traders and investors shy away from a market that is fraught with uncertainty.

Not only are the Q1 earnings in doubt, but longer-term economic analysis by the ChangeWave team indicates that we can expect to see a trading range of 700 to 900 on the S&P 500 for at least several months. And this is supported by my own technical analysis.

After a discussion of many of the risks peculiar to this economic cycle, the ChangeWave team appraises the big economic forces that "simply have to play out over time."

ProShares Ultra S&P 500 (NYSE: SSO) are recently down 16c to $16.15. SSO seeks daily investment results that correspond to twice the daily performance of the S&P 500 Index. SSO April option implied volatility is at 100, September is at 79; above its 26-week average of 69, according to Track Data, suggesting larger price movement.

Financial Bear 3X (NYSE: FAZ) 3X is recently down $1.00 to $60.50 in pre-open trading. FAZ March 60 straddle is priced at $19.30, April 60 straddle is priced at $33.20. FAZ over all option implied volatility is at 253 according to Track Data, suggesting extreme price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

United States Oil Fund (NYSE: USO) is recently down $1.07 to $25.98 in pre-open trading. WTI Crude futures are recently down 5.16% to $42.45. USO unit net asset value reflects the performance of the spot price of West Texas intermediate light crude. USO March option implied volatility of 72 is above its 26-week average of 68, according to Track Data, suggesting larger price movement.

Financial Bear 3X (NYSE: FAX) 3X is recently up $8.07 to $70 in pre-open trading. FAZ March 70 straddle is priced at $28.90, April 70 straddle is priced at $39. FAZ over all option implied volatility is at 192 according to Track Data, suggesting extreme price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com