Gold and Silver are still range bound

REVIEW AND PREVIEW

The Dow Jones Industrial Average surged to an all-time high on Thursday, surpassing its January high, but a third of its components still remain in a correction. Even as the blue-chip index nears its all-time high hit in January, 10 of its members are trading in a correction, or 10 percent below recent highs. – Rebecca Ungarino, “The Dow Just Hit a Record, But a Number of Stocks Are Still in a Correction,” www.cnbc.com, September 20, 2018.

… investors are gearing up for next week's Federal Open Market Committee (FOMC) meeting. Though central bankers are widely expected to hike the federal funds rate during the meeting, markets will be looking past this month's decision and toward the direction the Fed will chart ahead. A quarter-point bump to the Fed's benchmark rate is already factored into investor forecasts. The hike will push the funds target to 2 percent to 2.25 percent, where it last was more than 10 years ago. Members of the FOMC are grappling over how much more monetary tightening is necessary to keep the economy (and inflation) healthy. – Thomas Franck, Alexandra Gibbs, “U.S. Treasury Yields Hold Steady Ahead of Fed Rate Decision,” www.cnbc,com, September 21, 2018.

World stock markets were mostly sharply higher last week, following the completion of the Venus-Mars-Uranus T-square of September 12-18. Many of these markets started their rallies following lows associated with Saturn changing directions on Thursday, September 6, with some exhibiting intermarket bullish divergence signals from slightly lower lows in our September 10-12 three-star critical reversal date (CRD) zone. But, consistent with the nature of Uranus, the rallies turned into upside breakouts after the last passage of Mars square Uranus on September 18.

Some markets in the Americas (both North and South), exploded to new all-time highs, including the S&P and Dow Jones Industrial Average, along with the Merval Index of Argentina. In fact, despite all the attention given to the DJIA’s new all-time high, the much bigger story was (or should be) Argentina’s stock market, which roared to a new all-time high of 38,726 on Friday, September 21. On August 28, as Mars turned direct, the Merval was making a new 11-month low at 27,060. That’s an impressive gain of 43% in slightly more than 3 weeks. By comparison, the DJIA’s gain has been only 7.2% following its half-primary cycle low on August 15, despite 1/3 of the companies that make up the DJIA still being in correction territory.

Another stock index making stellar gains last week was noted in the Japanese Nikkei, which is suddenly testing its 26-year high made on January 23 at 24,129. On Friday, September 21, it was back up to 23,971. China’s Shanghai Composite bounced back nicely to a new monthly high on Friday, after making a 2-year low just three days earlier on September 18, the day of the third and final Mars/Uranus square. Maybe these trade disputes between the USA and China aren’t so wicked after all. Or maybe the markets are anticipating what geocosmic signatures have been suggesting all along. That is, Jupiter will soon enter Sagittarius for one year November 8, 2018-December 2, 2019, and both the planet and its ruling sign rule world trade. This combination indicates the possibility of a new era, and an explosive increase, in world trade. Yet, such an explosive reaction can create new problems, such as an overheated world economy and inflation.

The breakout nature of Mars/Uranus ending its last square aspect on September 18 was also noted in live cattle and currency markets. On May 15, 2018, Uranus entered Taurus for the first time since the 1930’s. On May 17, 2018, live cattle were trading at 101.37, their lowest level since 2016. Last week, they were trading up to 113.97, a gain of 12.4% so far. That’s a fairly big move for this market. Not as much as Argentina’s stock market (a country also known for its cattle), but impressive nevertheless from a geocosmic point (and that, after all, is the point of this column).  Taurus rules cattle. Its symbol is the bull, which is related. As discussed in the Forecast 2018 Book, this is a market that could explode in the next 2-4 years. It looks like it has started.

Taurus also rules currencies, like the U.S. Dollar. The greenback broke the neckline of a head and shoulders formation last week (thank you, technical analyst Charlie Head, for pointing that out), and then plunged to a new two-month low. In reaction, the Euro currency rallied to a new two-month high.

In other markets, Gold and Silver are still range bound, but holding their lows of August 16 and September 11 respectively, continuing the intermarket bullish divergence pattern from MMA’s three-star critical reversal date (CRD) period of September 10-12. Crude oil also posted a two-month high on September 20 at 71.81.

 

SHORT-TERM GEOCOSMICS AND LONGER-TERM MUNDANE THOUGHTS

The Uranus aspects may be over, but the effects are still very much present. Furthermore, new geocosmic signatures loom ahead shortly that could yet pertain to a reversal in world stock indices. In light of the fact that 1/3 of the stocks in the DJIA are not making new highs, whereas the index itself is making new highs (but without the NASDAQ), there is danger that investors are becoming more complacent, when instead they should be more vigilant.

Let’s look at some geocosmic factors that a Financial Astrologer and market timer may be considering, with the help of research studies reported in “The Ultimate Book on Stock Market Timing, Volume 3: Geocosmic Correlations to Trading Cycles.” On September 18, as discussed throughout this week’s column, Mars formed its third and final passage of a square aspect to Uranus. According to Volume 3, that is a Level 1 (strongest rating) aspect, with a 77% correlation to primary cycles within an orb of 13 trading days. This time band for a primary cycle is in force until October 5. On Tuesday, September 25, the Sun will square Saturn, another Level 1 signature with a 69% correlation to primary cycles within 11 trading days. Following this will be Venus turning retrograde on October 5, an even more impressive Level 1 signature than the other two, with a 78% correlation to primary cycles within 12 trading days. You can do the math, and when you do, you will see that the time bands for all three overlap September 25-October 5.

This is how we work. This is how we apply our market timing skills. When cycle studies and technical studies are combined with this approach, we are often able to make uncannily accurate market calls. It enables us to develop trading strategies for our daily and weekly subscribers. It sounds so easy. Yet it is probably one of the most challenging tasks imaginable to actually pick a time AND a price to enter and exit a trade. It is almost as hard as picking a time and a mate to share your life with. But, when you are right, there are few things in life as gratifying as making the right match. And there are few tools that can help one make these choices more accurately than astrology, especially when it is supported by other studies designed to produce the same favorable outcome.