Ever tried using Mercury Retrograde for market predictions?
Did it disappoint you with inconsistent results?
You’re not alone.
Many traders face similar frustrations. The aim here is not to give up but to use a better approach.
This guide will show you how to cut through the confusion.
We'll use Mercury Retrograde as a reliable trend reversal indicator, focusing on and forecasting the Nikkei and Nvidia for 2024.
Here's what you’ll learn
1. A quick overview of Mercury Retrograde and its market impact
2. Why most traders Struggle with Inconsistency
3. Introducing the Mercury Retrograde Framework
4. Real-life Trading Nikkei Example
5. Forecast: Nikkei & Nvidia
6. Conclusion: Trade with a New Lens
Ready to get started?
1. Understanding Mercury Retrograde
What's Mercury Retrograde?
Mercury Retrograde happens when Mercury appears to move backward in the sky. This occurs three to four times a year and lasts about three weeks.
People often link it to confusion, delays, and disruptions.
But how does it impact markets?
Impact on Markets:
Studies suggest Mercury Retrograde can cause market volatility.
Yet, the effect isn’t consistent.
Sometimes, markets rise; other times, they fall or move sideways. This makes it tricky to rely on Mercury's Retrograde for predictions.
2. Common challenges for traders
50-50 Results:
A significant issue is the sheer unpredictability. Post-Mercury Retrograde, the market’s direction is often a coin toss.
Misconceptions:
Most traders assume Mercury Retrograde causes uniform market reactions. This static view and the cosmos are a lot more complex. The astrological system works very dynamically, and the market does not have a static response to the same astrological configuration in the sky. In other words, the market sometimes gives you the same bullish or bearish signal every time Mercury retrogrades, but only some of the time.
One key misconception is the belief that Mercury retrogrades or similar astrological events, such as the new moon or Jupiter retrograde, act as isolated "ignitions" causing significant market movements. In reality, these events rarely move the market independently.
Profitability Concerns:
Attempts to hedge bets with a mix of long calls and puts often fall short, and high premiums eat into profits.
3. Introducing the Mercury Retrograde framework approach
Static vs Dynamic:
You are trying to find a simple rule: the market will rise or plummet whenever Mercury retrogrades or enters a specific range of longitude coordinates. It is too static. Instead, think of Mercury Retrograde as a cycle, not a trigger. This dynamic approach can help you see Mercury Retrograde with a New Lens and crack the code.
Adopting a dynamic framework is crucial to improving research on Mercury’s role as a trend reversal indicator.
4. Real-life examples and charts: Nikkei, August 4-27, 2024
Step 1: Mark the Retrograde Period on Your Chart
Step 2: Add Layers to Your Strategy
To get the most out of the Mercury Retrograde framework, you can always combine it with WD Gann’s Mathematical Indicators:
- Repeat Energy Indicator: Place buy orders when you see a repeating energy pattern forming.
- Dark Energy: The Repeat Energy pattern can also help calculate Dark Energy, where the price won’t touch the chart. This helps keep a tight stop-loss in place.
- VSE Indicator: The VSE is designed explicitly for sideways markets. If you missed the reversal on September 1, you could still re-enter at 38,442 using the VSE indicator.
Combining these tools gives you a clearer picture of market behavior and more profits.
Using the Mercury Retrograde framework is a unique way to predict market reversals. When viewed through the right lens, it can be used to spot other markets where Mercury Retrograde plays a role, such as Nvidia.
5. 2024 forecast: Nikkei and Nvidia trends to watch in 2024
Keep an eye on the upcoming Mercury Retrograde from November 25 to December 15, 2024. Once you get a handle on the Mercury Retrograde Framework, you’ll know exactly what to do in the next retrograde.
Here's a hint: the energy of the Mercury Retrograde Framework driving price action works like a team rowing a boat.
Don’t rely on astrology software to give you the percentage accuracy for Mercury Retrograde based on backtesting to reverse next time. It’s about reading what is happening in the market at the moment. That’s what I mean by trading with a new lens.
6. Conclusion: Trade with a new lens
Always be open to learning. When you start seeing the market through a new lens, you can screen the markets affected by Mercury Retrograde and turn them into profitable indicators.
Stay proactive, keep growing, and happy trading!
Khit Wong and all members of Gann Explained LLC are NOT financial advisors, and nothing they say is meant to be a recommendation to buy or sell any financial instrument. All information is strictly educational and/or opinion. By reading this, you agree to all of the following: You understand this to be an expression of opinions and not professional advice. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and education and does not constitute advice. The brand name of Gann Explained LLC will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. You are solely responsible for the use of any content and hold Khit Wong, Gann Explained LLC all members harmless in any event or claim. FTC DISCLOSURE: Any income claims shared by myself, students, friends, or clients are understood to be true and accurate but are not verified in any way. Always do your own due diligence and use your own judgment when making buying decisions and investments in your business.
Editors’ Picks
EUR/USD clings to small gains near 1.1750
Following a short-lasting correction in the early European session, EUR/USD regains its traction and clings to moderate gains at around 1.1750 on Monday. Nevertheless, the pair's volatility remains low, with investors awaiting this weeks key data releases from the US and the ECB policy announcements.
GBP/USD edges higher toward 1.3400 ahead of US data and BoE
GBP/USD reverses its direction and advances toward 1.3400 following a drop to the 1.3350 area earlier in the day. The US Dollar struggles to gather recovery momentum as markets await Tuesday's Nonfarm Payrolls data, while the Pound Sterling holds steady ahead of the BoE policy announcements later in the week.
Japanese Yen adds to strong gains and drags USD/JPY to 155.00 amid hawkish BoJ bets
The Japanese Yen extends its steady intraday ascent through the Asian session on Monday, dragging the USD/JPY pair to the 155.00 psychological mark in the last hour. Against the backdrop of the recent shift in rhetoric from Bank of Japan Governor Kazuo Ueda, an improvement in business confidence reaffirms market bets for an imminent rate hike this week.
Editors’ Picks
EUR/USD clings to small gains near 1.1750
Following a short-lasting correction in the early European session, EUR/USD regains its traction and clings to moderate gains at around 1.1750 on Monday. Nevertheless, the pair's volatility remains low, with investors awaiting this weeks key data releases from the US and the ECB policy announcements.
GBP/USD edges higher toward 1.3400 ahead of US data and BoE
GBP/USD reverses its direction and advances toward 1.3400 following a drop to the 1.3350 area earlier in the day. The US Dollar struggles to gather recovery momentum as markets await Tuesday's Nonfarm Payrolls data, while the Pound Sterling holds steady ahead of the BoE policy announcements later in the week.
Gold stuck around $4,300 as markets turn cautious
Gold loses its bullish momentum and retreats below $4,350 after testing this level earlier on Monday. XAU/USD, however, stays in positive territory as the US Dollar remains on the back foot on growing expectations for a dovish Fed policy outlook next year.
Solana consolidates as spot ETF inflows near $1 billion signal institutional dip-buying
Solana price hovers above $131 at the time of writing on Monday, nearing the upper boundary of a falling wedge pattern, awaiting a decisive breakout. On the institutional side, demand for spot Solana Exchange-Traded Funds remained firm, pushing total assets under management to nearly $1 billion since launch.
Big week ends with big doubts
The S&P 500 continued to push higher yesterday as the US 2-year yield wavered around the 3.50% mark following a Federal Reserve (Fed) rate cut earlier this week that was ultimately perceived as not that hawkish after all. The cut is especially boosting the non-tech pockets of the market.
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