Financial Astrology - May 4, 2014

SP500

We are in the 13th week of the Primary cycle. It appears the effects of the Grand Square will drag on and probably revolve around the Ukraine political unrest. Mars will be turning stationary direct on May 19 thus heading back to the spot it was on when the Grand Square was exact on April 23. Mars will get back to that point on June 16th. There are other Astro indicators around that time pointing to general disruption. We'll expand on these in a subsequent post.

The SP500 is approaching it's all time high on April 4th. That was also on a 40 td cycle high. The 40 td cycle often inverts and can be a high or low in stocks. The next iteration for the 40 td cycle is the last week of May. This is also the 16th week of the Primary cycle.

Mars turning Direct for the general market indexes usually is a period of volatility and may be close to a Primary cycle turn. May 19 would be in the 15th week of the Primary cycle. So, like the 40 td cycle mentioned above, it could be either a crest or early trough so we must watch price action of the index's over the next few weeks.

If we are headed sharply up or down the Nasdaq should lead the way. The following daily chart of the NAS 100 shows the index right up against the fib retracement level of 38.2% of the move up from Feb 5th to March 7th. The index could briefly spike higher but we expect a move up will fail. Watch the 15 and 45 dma. Currently the 15 dma is below the 45 dma and should stay below or this analysis is incorrect. See the daily chart of the Nas 100 below.

There are a number of aspects, mid-May that point to a turns in more than one market. Watch this time period closely. Subs have the dates.

Basically I'm looking for a move higher in the general indices this week and then a reversal either later this week or early the week of May 12th when Venus starts it's translation of the Grand Square. 

I'll be looking to short any move above the current all time high in the SP500. I'm looking for a Primary cycle trough in the SP500 during the last 2 weeks of the month but need price action to agree with this analysis. I'll be shorting the NAsdaq 100 as well as it should lead the parade on any move down.

I'm still looking at the Pluto price line (blue line) as resistance, although the SP500 (below) has nudged above it a few times.

Gold

We are in either the 18 week or 2nd week of the Primary cycle. If the Primary cycle started on the spike low on April 24 then Gold should be bullish. If we are in the older 18 week we are still in a generally bullish position as the Primary low would be due very soon and probably this month. Mars turning Direct or Venus translating the Grand Square would both be good signatures for a change in trend.

There was a sharp move up on Friday May 2nd so watch early next week. I want to see a daily close above 1303-1305 area to confirm a new Primary. See notes on Silver. May 6-7 may be good dates for a sharp move.

Silver

Silver is in the 18 week or 1st week of it's Primary cycle. Watch for a sharp move in Silver and most probably up particularly around May 6-7.

I've posted the following chart many times before. It shows the heliocentric (Sun centered) price lines for Venus and Jupiter. Note the support on the heliocentric Jupiter price line (blue line)

We often get a sharp move when the Venus price line (green) crosses the heliocentric Jupiter price line (blue). This occurs next on May 6 with a heliocentric Venus / Jupiter opposition. If Silver is going up Gold will be going up as well.

Crude

May 5th starts the 17th week in the Primary cycle for crude. Price is below both the 15 and 45 dma, however, the 15 dma is above the 45 dma and falling. Ideally we would like to see the 15 dma below the 45 dma for the Primary cycle low.

Note where we are in the fib retracements. $98.21 would be a 50% retracement of the move up from early Jan'14 to early March'14.

Remember we have a potential war going on so commodities in general and Gold and Crude in particular could be very volatile and not follow normal analysis.

US$

The US buck continues lower into the time frame for an 18 month low. See the following weekly chart of the US$. The next green line is the 18 month cycle.

Note from previous cycles, it could stay down at these levels or lower for some time.

There are a number of events scheduled in May between Russia and China which would not be beneficial for the US or the US$.

Also note there was an increase in the number of significant earthquakes around the date of the Grand Square. There are two earthquake time periods where more significant earthquakes take place, April/May and Oct/Nov.

Update

There's an election brewing in Ontario, Canada.

I'm a voter. They say my tax money must go to building infrastructure. Above is an example.

Financial Astrology - April 27, 2014

A message from a great American. The message would apply to both sides.

"Statesmen will invent cheap lies, putting blame upon the nation that is attacked, and every man will be glad of those conscience-soothing falsities, and will diligently study them, and refuse to examine any refutations of them; and thus he will by and by convince himself that the war is just, and will thank God for the better sleep he enjoys after this process of grotesque self-deception."
-- Mark Twain

Mars is still in orb for this Grand Square although I must admit I was expecting something more dramatic last week for the markets. The Ukraine situation didn't disappoint nor did the increase in significant earthquake activity; however, market moves were not really significant. I'll add "so far".

As mentioned in the last post there are more upcoming trouble spots, first with the Solar eclipse which is negative and in a money sign in Taurus, this week. Then Venus will be  translating the Grand Square in mid-May, Venus rules money and resources amongst other things. Subs have the dates.

After these planets separate, there is still a T-square. Mars has been retrograde (moving backwards as seen from earth) it turns direct in May and forms a T-square with Uranus and Pluto in June. The last T-square had Uranus as the focal planet. This T-Square has powerful Pluto in Capricorn as the focal planet signifying changes that can't be undone. Pluto in Capricorn is all about power and money or said another way about the powerful and moneyed. Changes to the powerful can involve gaining more power but could equally mean a removal or end of power. Leaders beware. Pluto in Capricorn can manifest as disclosure of some type of cover-up as Pluto is all about deep, dark secrets. It moves so slowly it can be some time before the secret comes out.

This week is the 12th week of the Primary cycle in the SP500. I'm expecting some volatility with the FED working behind the scenes to prop the markets up. We should see initial support around 1850-1856. If this area is broken on strong volume a trip to the 1833 area is quite possible. I'm looking for a spike low and then up. This week should be very volatile particularly the Nasdaq.

The following chart shows prices falling away from the 50% Fan line which has acted as resistance since mid - 2011. The Fan started on March 6, 2009, the bottom of the 2008-2009 slide.

The Pluto price line (blue line at the top of the chart) has continued to offer resistance.

I guess I would question who is buying at this point.

Based on Bloomberg's Smart Money Flow indicator

Gold

Gold is in either the 17th week or 1st week of the Primary cycle. If it is the 1st week, and I believe it is, it should be generally bullish for 4-7 weeks. Of course we have a potential conflict going on. This must be taken into consideration.

Gold often goes down after the Pluto retrograde (April 14) and then a short term up move into the Sun trine Pluto (May 3).

Crude

Crude is in the 16th week of it's Primary cycle and appears headed down to a trough.

Keep in mind that war rumors continue which can quickly effect commodities and crude in particular. Also keep in mind we are in the historical seasonal strength period as inventories are built for the summer driving period.

That said I'm looking for a trough around May 14 (Jupiter trine Chiron) or around May 24 (Jupiter trine Saturn). Those dates would be the potential Primary cycle trough dates. Look for support around 100 then 98.20.

Natural Gas also appears to be headed down. This would be the weaker time of the year for NatGas.

US$

We are also coming up to a 18 month cycle low in the US$ around mid-May 2014 as seen on the following weekly chart.. This could be a few weeks either side.