Summary
Another week of volatility ahead. Last
week we had the Oct 22 pullback but were surprised at the strength on Oct 23,
24. Nevertheless we are looking for lower prices in the SP500 near the start of
the week. Giving the Solar eclipse date +- 3 td's (trading days) we are still
in the eclipse window. We also have a number of signatures for a change in
trend including Mercury direct on Oct 25,
Mars enters Capricorn on Oct 26th
and the Sun trine Neptune on Oct 29. On Oct 27th there is a grand trine which is having an effect over a
longer period of time and may be the trigger for more Ebola incidents. See
comments further down.
With volatility news of the Ebola
pandemic should continue. The Solar eclipse path was pointing to increased
tensions between Russia and
the USA
and maybe their leaders. This may not be immediate but watch the news. This
eclipse may also affect the British Royals. Also watch the news.
Beyond the eclipse there is a
forming grand trine with Venus (including the eclipse point), Neptune and Hades
a Uranian point. These appear to be pointing to further disease problems. The
Uranus / Pluto waxing square is coming back in focus with Pluto moving forward
while Uranus continues retrograde.
My trading plan includes a pull back early in the week and then assess the market status after the FED announcement on Oct. 29th. Although I'm leaning to a bearish position, major markets could move up into early November. I'm specifically looking at the week of Nov 10th for a possible high.
My trading plan includes a pull back early in the week and then assess the market status after the FED announcement on Oct. 29th. Although I'm leaning to a bearish position, major markets could move up into early November. I'm specifically looking at the week of Nov 10th for a possible high.
SP500
We are entering the 12th
week of the nominal 18 week cycle 1
which started on Aug 7th.
We saw the start of a 1/2
Primary 1
on Oct 15th. At this point in the cycle, which started
on Aug 7th, looks very left translated meaning this would be a very bearish 18
week cycle. With the Astrological aspects over the weekend and next week I'm
looking for a pullback Oct 27,28 and
all life on earth will stop at 2:00pm on Oct 29 for the FOMC meeting
announcement. I will probably stand aside on Oct. 29th, until the FED's
announcement is clear. This event has the potential for drastic move in either
direction.
Following is the SP500 and shows the area for the potential
low for this 18 week cycle.
Red squares are Mercury turning retrograde and the blue
squares are Mercury returning to direct motion. The recent dates are Oct 4 for Mercury turning retrograde
and Oct 25 Mercury turning direct.
The description of the Mercury inferior conjunction was in the market letter
and occurred on Oct 16th, one day
after the low. These dates alone often mark trend changes. Friday Oct 24 was also 55 td's (trading days)
from the Aug 7th low.
We are still in the Solar eclipse window as the dates were
+- 3 td's. Until we take out the Sept. 19th high, this is a left translated bearish
cycle pattern. Although looking for a pullback early in the week the FED
announcement could change the market direction quickly.
Historically we are entering the strong period of the year
for the markets. We also have the reaction to the mid-term elections in the US . It was
pointed out to me this is typically very positive when there is a democratic
president. This is based on averages but we should be aware of market
tendencies to move in one direction or the other.
So we are at a very important point. Do we go up into the
traditional positive time of the year or has 5 years of FED easy money so
distorted valuations that the market can only go down. This is a difficult
call, but with the Astros in front of us to the end of the year and into next
year I suspect we are going down or will be flat. A dramatic increase in
inflation would change this outlook.
So I'm looking for a move down early next week. In this environment where bad news is good for the markets because the crowd now expects more government monetary intervention when bad news comes out. Although I have a bearish view over the long hall we could move up after the FED announcement. The week of Nov 10th has astro events pointing to a potential high. It may be a lower high.
To follow up on the potential effects of the Solar eclipse,
I was looking for changes to the financial system.
The following is from another Astrologer - Ed - Tamplin http://www.edtamplin.com/
"On the morning
of October 24 2014 – shortly after the Scorpio Solar Eclipse with Venus, twenty
nations joined China
as the founding co-signatories of the new Asian
Infrastructure and Investment Bank. The bank will have an initial
capitalization of $50 billion dollars and may eventually rival the World Bank
and Asian Development Bank for international lending.
Founding signatory
countries were China , India , Pakistan ,
Bangladesh , Brunei , Cambodia ,
Kazakhstan , Kuwait , Laos ,
Malaysia , Mongolia ,
The date and timing
are significant. The astrologer researcher Edward Johndro in choosing a time
for a corporation would examine the planet ruling the purpose of the
corporation and see when it was conjunct or opposite an eclipse point –
preferably a solar eclipse - and barring that check whether the planet was
stationary.
The Asian
Infrastructure and Investment Bank signing has Venus – planet of value –
exactly at the eclipse point. This is also the degree that Mercury stationed at
before turning retrograde on October 5. Mercury is the planet of business
transactions and contracts. Mercury is now stationing before turning direct on
the 26th. By choice or accident the time of this signing is astrologically
auspicious."
Two days before the MH17 flight crashed in the Ukraine
the BRIC nations formed their equivalent to the IMF. There are many financial
related changes occurring in the financial system worldwide, many of which do
not favor the USA or Europe .
It's difficult to get a straight story now on financial
happenings. This may make it better or worse, don't know at this time. We do
know large changes are occurring.
Grand Trine Oct 27th
Also mentioned above is the Grand trine in water signs
involving Neptune in Pisces, Hades in Cancer and Venus (incl. the Sun) in
Scorpio. Hades and Neptune move very slowly. We can look at Venus, and the Sun
as triggers.
Scorpio is associated with birth, sex and death. In mundane
astrology this includes larger survival and mortality issues that affect
society. An example is the early 80's when Saturn and Pluto travelled through
Scorpio. There was an increased awareness of safe sex and the aids pandemic came into focus.
Scorpio also rules over other people's money, debt and those
industries that control other people's money. This would include banks, central
banks, large funds, life insurance and any companies in the financial service industries
and the world's financial system itself.
In mundane astrology Neptune
is associated with epidemics and diseases of all kinds. During this eclipse Neptune is in a grand trine with the eclipse point (incl.
Venus) and Hades. Hades 2 is a Uranian point and can be quite nasty.
Although associated with antiquities it also rules ruins, waste and
deprivation. It is decay, death and the process of breakdown that occurs when
living organisms die and return back to the soil. The bright side, if there is one,
is that life is reborn out of the ashes of prior life. Look for a possible
increase in the current Ebola crisis, other possible water borne disease and
any news of findings concerning antiquities.
The grand trine is exact on Monday Oct 27th. Knowing that
Neptune and Hades move very slowly I
went back one orbit of Venus and found the same grand trine on Nov 23, 2012.
I checked the news around that date and found this.
We may be hearing more about Ebola over the next few weeks.
I can't find anything tying this signature to the USA . It's a world problem.
Other issues I raised about the Solar eclipse are still
relevant and should be watched over the next few weeks. These are an increase
in tensions / events between Russia
and the USA
and the possible effect on the British Royals.
The Uranus and Pluto
waxing square will be coming back into focus over the coming weeks. It will be exact 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.
Gold
Gold is in the 4th
week of it's Primary cycle 1
(nominal 18 week). I'm looking at this as
the 4th week of a new Primary 1 and this would be the first nominal
6 week cycle of the Primary. For those who have been reading these letters for
awhile I look for a pull-back in the first 2-3 weeks of a New Primary 1
. I believe Gold and Silver are in this short
term pullback now and have further upside into the 6 week cycle.
I'm looking for Gold to hit the 50% retracement around 1265
for this first 6 week. Currently price is on the 15 day sma and bounced off the
45 day sma, a bearish move.
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.
Silver is also in the
4th week of it's Primary cycle cycle 1
. Like Gold, Silver appears to be pulling back into the
2-3 week cycle low. We then expect Silver to move up into it's 6 week cycle
high.
The following chart shows
the Venus (green) and Jupiter(blue) price lines on a daily chart for Silver.
The trend often changes when these two price lines cross. Silver is currently
running up the Jupiter price line. If it is a new Primary cycle I would expect
Silver to rise away from the price line.
Crude
We are in either the second
week of a new Primary 1 cycle or the 26th week of an older and extended Primary 1 cycle in
crude. The last cycle was left translated which is bearish. If this is a new
cycle forming watch for it to be left translated as well. There is a lot of
deflationary pressure on many commodities, precious metals included.
There are many reason, US and Saudi intentionally over
producing to drive out high cost producers and hurt Russia ,
ISIS and Iran .
This plan seems to be working but there are always unforeseen repercussions.
Western governments collect a lot of tax revenue from the price at the pump. If
it is down the government revenues are down. Crude may be reflecting the real
world economy. When crude does turn up it will probably be to lower highs. This
is also causing problems between mid-East governments.
For crude I'm watching the 23.6% retracement level on the
following daily chart.
I'm looking for a trigger for crude. Aspects to Jupiter or
Neptune, the rulers of crude would be good candidates. Possible candidates are:
Oct 27 Venus trine Neptune
trine Hades
Oct 28 Sun trine Neptune .
I like this one best.
On a longer term basis there is a 38-39 month cycle in crude, many commodities and the US $. The longer
term cycles need a wider orb. This cycle could trough out from now to early
November. It could also be this week. The following weekly chart (2 pages down)
shows the 38/39 month cycle in crude.
Other items, more specifics on the SP500, Gold and crude
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