It is fair to say that some commentators have said that the market has been dull in recent weeks, with no real dramtic price movements. In fact yesterday saw power prices drop a little in Winter 05 and the preceding months. This is in fact good news, the recent rise in volatility would have had banks and trading houses very worried, and would have tightened risk limits to the point of being able to hold very small positions. A sustained drop in volatility will allow players to get a better hold on risk limits, and eventually allow them to take larger positions, this starts to add depth to the market which in turn reduces bid/offer spreads. With the depth in the market returning some players will want to try to trade small options positions, aware that they can manage their delta in the market as liquidity returns. In short the market madness seen in previous months has done nothing to enhance trading. A calm period should bring players back to the market with less of a scared feeling and more of a look at fundamental analysis on how to trade in normal circumstances.