First of all let me thank the many subscribers who emailed in congratulating the call for Sept. 25th. It's not often we get such a big move on the exact date forecast but this was fairly obvious. A number of subscribers paid for their subscription many times over. If you missed out on the Sept 25th date, don't worry. There will be many more. One possibly very soon.
From last weeks subscriber market letter:
"In addition on Sept 25 the Moon passes over the point, where the Sun will be during the Oct 8th Lunar Eclipse. The Moon will also be opposing Uranus on Sept 25th. Putting this together there appears to be some surprise and may have something to do with the
$ or some other currencies. I'm
looking at this as an event or a secret comes out that effects the US $ or other
currencies. This may be just the start. This
period around Sept 25th should turn out to be significant." US
Trading Note: It's difficult to short the market when you expect a pullback after a long bullish period. You could short the index via an ETF or buy puts. In instances like this I put in resting buy orders on 2 times reverse ETF's and then let the market take me in if it goes down.
We are entering the 8th week of the Primary cycle 1 (nominal 18 week) which started on Aug 7th. There are potentially a number of longer term cycles due in the next couple of months. September has a number of intermediate cycles due. We have just put in the first Major cycle (nominal 6 week) of the Primary 1 cycle with the low which I have changed to Sept 25th. This was also the 224 cd cycle trough.
From last weeks blog post:
"So normally the SP500 should be back in bullish mode as it starts it's 2nd Major cycle of the Primary cycle.
I said normally because we have a number of Astrological events that have a history of occurring around trend changes. These start next week and carry on through to Oct 23, the partial Solar eclipse."
Following is a daily chart of the SP500 with the nominal 6 week trough and shows the area for the potential low for this 18 week cycle.
The 224 cd (calendar day) cycle troughed out with the nominal 6 week low on Sept 25.
The 168 td (trading day) cycle turned down on the high just like previous highs.
The next couple of weeks should continue the volatile swings. This coming week of September 29 starts a little quieter on the Astro front, but does have Mars moving "Out of Bounds" by declination. There are two major Astrological events coming up. Their force should start to be felt this week.
First, the Jupiter, Uranus trine will be joined by Mars making it a grand trine in fire signs. This will be most exact during the week of Oct. 5th. This has the potential of being quite positive and innovative with a possible break through in one of the sciences. We may find people to be more bold, challenging and outspoken, including ourselves. Watch for this in your personal lives. Remember I said has the potential.
A brief note on trines or 3rd harmonic aspects vs hard aspects (squares, oppositions etc.) or 8th harmonic aspects. With trines, the energy is smooth flowing between the planets involved. Everything is running smooth so there's no need for action. With the hard aspects the energy is not smooth flowing, it is disruptive and prods people to action. The point is trines feel so "nice" people sit back and enjoy the feelings of the trine and nothing gets accomplished. Squares and other 8th harmonic aspects prod people / groups to get up and do something. Action takes place as the result. This can also equate to manifestation in the physical world while trines, many times, do not manifest in the physical world and result in positive feelings only. Put down the phone, turn off the TV, get off the couch and do something. The grand trine will then be of help to you. Enough of our metaphysical rant and on with the forecast.
This grand trine includes Mars so I expect some action. The fact all 3 planets are in fire signs should be creative. Mars in Sagittarius, Uranus in Aries and Jupiter in Leo. There is certainly an element of luck in this grand trine. With all the problems in the world it would be most beneficial to use this grand trine's energy to tackle some of the most pressing difficulties. It does seem to address freedom.
On the other side of the coin we have the Sun then Venus translating the Uranus / Pluto waxing square. In fact the Lunar eclipse of Oct 8th forms a T-square with the forming Uranus / Pluto waxing square creating a T-square with Pluto as the focal planet. The focal planet will express the energy of the T-square. Pluto is in Capricorn and still very close to the heliocentric Jupiter nodes, a power point in the Zodiac. Pluto is all about debt, deficits and taxes. If we include Kronos (a Uranian point) we have a grand square. This would appear to be quite negative. Could debt or defaults be affecting Uranus freedoms?
The subscribers will have all the exact dates. For our purposes here the period around
Oct 8th should be very important. If a sovereign debt issue comes up, these aspects could be pointing in that direction, it's obviously going to have a very negative affect on the markets.
On Sept 25th the Moon was on the spot where the Sun will be during the lunar eclipse, opposite Uranus. It invoked fear in the markets and a sharp down move. We may get a repeat performance close to the Lunar eclipse date. The issue of freedom I originally saw may turn out to be the curtailment of freedom due to debt / default issues. Following is some history of eclipses on a daily chart of the SP500. Lunar eclipses ( blue circle) Solar eclipses (red circles). More details on eclipses are in the subscribers letter.
Mars will be in Sagittarius until October 26th. Expect volatility in many markets.
The Pluto and Uranus waxing square will be coming back into focus over the coming weeks. It will be an exact waxing square on Dec 15. This will be the 6th exact square in this series of 7 exact squares. The last square in this series is March 16, 2015. The period around both these dates, Dec 15, 2014 and March 16, 2015 could be troublesome on the world stage and the financial markets in particular.
I view this aspect as the aspect which has given rise to many of the world's difficult events over the past couple of years particularly debt, secretive financial manipulation, taxes etc. This is a very long term aspects and I give it +- 1 month in orb. It is an aspect that colors the background of history for a number of years. We have covered the Uranus Pluto in waxing square extensively in previous posts. We will do so again as we get closer.
In summary I am looking for market volatility for 5 to 6 weeks. There are a number of significant aspects occurring over the next 2 weeks. Although this coming week markets may start slowly, critical aspects start Oct 4 through to Oct 11 with Oct 8th, the Lunar eclipse potentially being the trigger to set off a market event. This Lunar eclipse should be given a few days either side but the T-square formation mentioned above may be the catalyst to set things off. With Pluto as the focal point of a T-square we could be looking at a sovereign debt default or other debt problem. I've mentioned the
$ for the last couple of weeks.
Keep watching currencies and the US $. There could be a quick move in
the Oct 8th time frame +- a few . US
Gold is in the 17th week of it's Primary cycle cycle 1 (nominal 18 week). After a couple of weeks of free fall, Gold at least went sideways last week. We may be close to an 18 week low. I'm watching for a break above the 1239 area. That's the 23.6% retracement of the move down from July 10th to Sept 25th. There's that date again. It's quite possible Sept 25th was the trough of the Primary cycle. It's in the range of the Pluto direct aspect on Sept 22nd.
Two other charts pointing to a potential reversal in Gold follow. Be advised, if Gold does reverse here it could be entering a left translated cycle. That could mean after a brief bullish rise it may turn bearish early. Keep this in mind.
The following weekly chart shows the heliocentric Jupiter price line. It has acted as support for Gold in the past as seen on the following chart.
There is another shorter term aspect which is the 7th harmonic aspect between the Sun and Jupiter. The following daily chart shows some history. It has marked short term trend changes. The next exact date is Sept. 30th.
I've been working on the premise that June 28, 2013 was the 4.5 year cycle low in Gold and Dec 31, 2013 was a retest. If Gold goes below 1180 we may be seeing the 4.5 year low unfolding now.
Silver is in the 18th week of it's Primary cycle cycle 1 . Like Gold we are lower in price than at the start of the Primary cycle on May 30, 2014. The Primary cycle is also left translated, which is bearish. Watch this week.
Silver was below the 200 level in the CCI (Commodity channel index), a level from which Silver often makes a move higher within a couple of weeks. It was sitting on the 1.236 Fib level for the move up from May 30, 2014 to July 11, 2014 on Sept 19th. Watch this level which is at 17.86 on the following daily chart. Were late in the 18th week cycle.
Nobody sounds the trumpet when cycles end. Crude may have put in it's Primary cycle cycle 1 trough on Sept 22nd. We would therefore be in the 1st week of a new Primary cycle or the 22nd week of an older cycle. I suspect we are in a new Primary which should be bullish. I bought a bullish crude ETF on Friday.
If this is a new cycle we must bear in mind it could be left translated and therefore we would get the top early in the cycle. Many commodities have been going through a deflationary period at least partly attributable to the high US$. I'm referring to WTIC crude.
On a longer term basis, Crude could drop to the 85.00/CL area in the 4th quarter of 2014
Other items, more specifics on the SP500, Gold and crude also US$, NatGas, Coffee reserved for subscribers. At $99.00 for a 6 month subscription, can you afford not to have it?