Menu Content

Merriman Market Analyst

Home arrow Weekly Preview arrow Comments for the Week Beginning April 7, 2008
Advertisement
Please note:
This is not the same as our service titled
"MMA Weekly Comments and Recommendations on Financial Markets"
which is available by subscription only.
Flowchart on MMA Products and Services
Comments for the Week Beginning April 7, 2008

Review and Preview

 After ending a corrective decline last Monday, March 31, many of the world stock indices commenced one of their strongest rallies in a long time over the following two days. In some indices, the rally continued right into the end of the week. This behavior fits with well our Financial Astrology bias stated in last week’s column as follows: “One key may lie in the important Venus-Uranus conjunction of this past Friday, March 28. If that indeed acts as a reversal signature, it could lead to a rally, as the U.S. stock market has declined into it.” Later on, this same column ended with, “Another reason why stocks may reverse right here is because Jupiter is making its first of three sextiles to Uranus on March 28, the same day that Venus forms a conjunction to Uranus.” Bingo! After bottoming at 12,177 on Monday, the DJIA soared to close the week at 12,608, a gain of 391 points from the prior week’s close. The NASDAQ Composite had its low the prior Friday as Venus formed its conjunction to Uranus. That is noteworthy in the study of Financial Astrology because aspects to Uranus are relevant to technology companies. The NASDAQ is heavily weighted in tech stocks. For the week, this index was up 109 points.

 In Europe, the pattern was similar. These markets ended their corrective decline on Monday, and all soared sharply higher the next two days, with the London FTSE and Netherlands AEX continuing their rallies right into the close on Friday, just like the NASDAQ Composite. But the German DAX and Swiss SMI indices topped out on Wednesday and then went sideways, just like the DJIA.

 In the Pacific Rim and Far East, it was mostly similar to Europe and the U.S.A. Both the Australian All Ordinaries and Hong Kong’s Hang Seng index were up all week, with a huge gap up day in the middle of the week. Japan’s Nikkei ended a modest corrective decline on Monday at 12,430, and then soared nearly 1000 points to its weekly high on Thursday. But in India, the NIFTY index was a little different. It topped out under the Venus-Uranus conjunction of the prior week, and then spent most of this past week trending down.

Precious metals and grains ended their sharp declines on Tuesday, and then promptly started impressive rallies right into the end of the week. During this rally, Corn prices soared to an all-time high. Of interest here is the fact that farmers announced they were increasing their plantings of Soybeans by 18% and Wheat by 6%, while decreasing their planting intentions of Corn. This is exactly in line with our forecasts made in this year’s Forecast Book as well as our past few issues of the “MMA Cycles Report.” As anticipated, this announcement caused Soybeans to fall sharply, down to $11.35/bushel in the July contract. Just a month ago it was trading above 15.80. Wheat also fell, but Corn soared. As stated in Wednesday’s Wall Street Journal, “Stocks of corn before the new harvest could fall to a decades-long low of 636 million bushels, compared with 1.4 billion bushels currently. If corn usage remains unchanged and if yields are the same as last year, he (Terry Roggensack of the Hightower Report) says ‘we’ll run out of corn.’”

Short-Term Geocosmics

 There are three signatures of importance this week. On April 6, Venus will ingress into Aries and form a waxing square to Pluto. On April 10, the Sun will form a waxing square to Jupiter. The Venus transit through Aries will last the entire month (April 30), and suggests new proposals (Aries) that could affect the value of currencies and treasuries (Venus and Pluto). We saw some of that last week when Treasury Secretary Paulsen introduced his idea of sweeping changes in the banking world, including increased powers for the Federal Reserve Board. This idea of increasing the powers of the FRB is in direct contradiction with my understanding of Pluto moving into Capricorn, and its relationship to the Sun-Pluto opposition in the FRB chart. For an astrological view of this transit over the next three years to the Federal Reserve Board, and its implications concerning lessening of powers (not increase), please check the article that appears on our website at http://www.mmacycles.com/articles/articles/pluto-in-capricorn/. Not surprisingly, the investment community reacted as if Paulsen’s plan was “dead in the water” already.

 The two aspects – Venus square Pluto and Sun square Jupiter - are rather powerful signatures. Both have a nearly 80% correlation to 4% or greater price reversals within four trading days, according to our studies reported in “The Ultimate Book on Stock Market Timing, Volume 3: Geocosmic Correlations to Trading Cycles.” This week could be a little bit wild, especially since Jupiter alone represents the principle of exaggeration. A quick 200-400 point down day in the DJIA is within the realm of possibility sometime this week. However, that does not negate the possibility that a new 4-year cycle is in force. That won’t be negated until the DJIA falls back below the 11,634 low of January 22.

Longer-Term Thoughts

 The Labor Department’s employment report of Friday, April 4, showed a decrease of 80,000 jobs last month, the biggest monthly decline in several years. Of course this immediately prompted further proclamations that the U.S. economy is already in the midst of recession, a claim that spurred the dramatic sell off in world-wide equities just two-three weeks ago. Our column of the past two weeks alluded to this reminder, as it stated, “With Pluto turning retrograde April 2, followed by Venus in a square aspect to Pluto on April 8 (should be April 6-7), we have to be aware that the forecasts of a great and miraculous recovery may also be pre-mature.”

 But what about a recession? Are we in a full-fledged recession? Will it be a deep one, or is this just mild and temporary? What does Financial Astrology say? For this year, and especially the next two months, the long-term geocosmic signatures are favorable, according to principles of modern-day astrology. That is, there are important trine (120 degree) relationships in effect between Jupiter and Saturn, as well as Saturn and Pluto. And, as mentioned last week, Jupiter has also now begun its first of three favorable sextile (60 degree) aspects that will last into November. Modern-day astrology, applied to the field of market timing, hypothesizes that such favorable aspects are ultimately favorable for the economy and equity markets.

 However, we also discussed the idea that traditional astrology might have another viewpoint. Here, it is not planets in aspect that are so important, but rather planets in signs that are more important. In this regard we note that both Jupiter and Saturn are in earth signs (Capricorn and Virgo respectively), and earth signs have more a contracting quality. Thus the economy and stock markets might not perform so well with these placements. In my opinion, I think it is a combination of both these principles at work. The planet-sign relationships may coincide with the constriction we have experienced in regards to economic growth and stock market behavior so far. But the favorable aspects have also limited the amount of downside activity too. The economy and stock markets may not be so bullish right now, but they aren’t falling hard either. For the amount of fear witnessed in the world investment community in March, these economies and equity markets have held up pretty well. The fear was great, but the fear has yet to materialize into anything near the degree to which many analysts predicted.

 Yet it is interesting to note the similarity between the last instance of the 29-year cycle of Saturn in Virgo, to this current time. (Virgo, by the way, represents "the work force," and Saturn represents "contraction"). The last time Saturn was in Virgo occurred from November 1977 through September 1980. You may remember in the United States, this was a time of sharply rising prices (inflation), when precious metals soared to historic highs. But it led to an economic recession and sluggish stock prices. They called it “stagflation.” And here we are again, with Saturn in Virgo, September 2007 through October 2009. Commodity prices are soaring, and Gold recently passed $1000/oz for the first time ever. Yet the economy and stock markets are struggling, and the ‘R’ word is being bandied about loosely. Back then, President Jimmy Carter forbid the use of the ‘R’ word, preferring instead to refer to the economy as “bananas.” I wonder what words today’s administration will use to address the state of the economy. Maybe peanuts?

 

Announcements


If you are an active short-term trader, you may be interested in our Weekly or even Daily Market reports with short-term trading recommendations. It is the only way I keep in touch with traders on a daily or even weekly basis, as I no longer offer personal consultations. These reports give in-depth analysis of the DJIA, S&P and NASDAQ futures, Euro currency (cash and futures), Swiss Franc, Dollar/Yen cash and Yen futures, T-Notes, Soybeans, Crude Oil, Gold and Silver. The daily reports cover all stock indices listed above, as well as futures in Euro, T-Notes, Soybeans, Gold and Silver. Subscription to the daily report also includes the weekly report. For more information, go to http://www.mmacycles.com/services, or call our offices at 1-248-626-3034. In the words of one of our subscribers: “I recently subscribed to your weekly report and am finding it to be excellent and a very useful companion to the MMA Cycles Report.  I can't imagine now managing my investments without them.”

CD’s DVD’s, MP3’s, and “On-Line Streaming Video” of the July 11 webcast are now available!!! Each of these various ways to see the event can now be ordered via our website at www.mmacycles.com (just click the opening banner), or by calling 1-248-3034 or email operations at ordersmma@msn.com. The cost of each is $45.00, plus postage if necessary. This webcast covered our outlook for stocks, precious metals, interest rates and Treasuries, foreign currencies vis-à-vis the U.S. Dollar, and Grains. We pick this time because it is right before the astrological midpoint of the Cardinal Climax, which takes place late July through early August. It may be the peak of the huge trend reversals expected in many of these markets, aided and abetted by major changes of trend in geopolitical matters. You won’t want to miss this presentation. Order now, because most of the trading opportunities presented are in effect from July 21 through October 8, 2010!!!

Any remaining copies of the Forecast 2010 book will be available for $30.00 (plus postage), now as long as supplies last. This year’s book was an incredible publication, as almost everything forecasted in it has come out as described. All the themes outlined, and almost all the financial markets are unfolding as indicated with one exception: there has (as of yet) been no sign of excessive speculation in stocks or precious metals. Instead, frightened investors are flocking to U.S. Treasuries. Everything else, however, has been spot on, and there is still time for this to happen in stocks and precious metals into mid-2011. We now offer a complimentary copy of this year’s book to any new or renewing subscriber of a one-year subscription to the MMA Cycles Report, our new MMA European Cycles report, or any subscription to a MMA daily or weekly report, as long as books are still available. See special offer on the opening page of www.mmacycles.com.

The monthly MMA Cycles Report and its companions – the MMA Japan Cycles Report and MMA European Cycles Report – came out this week, Monday and Tuesday, via posting on our web site, and attachment via direct emails, for subscribers. W also sent an update to subscribers on Wednesday. If you subscribe to these reports and did not get them, let us know at once. This report covers our longer-term analysis of the U.S. stock market, precious metals, crude oil, currencies, Treasury Notes, and grain markets. The MMA Japan Cycles report covers the Nikkei, JGB Bonds, and the Dollar-Yen. The new MMA European Cycles Report covers the German DAX, Swiss SMI, and Netherlands AEX, each in English only. New yearly (or renewing) subscribers to these reports will receive a free copy of the Forecast 2010 book while supplies last (see below). For subscription information, please go to SERVICES at www.mmacycles.com.

I am oftentimes asked for recommendations of a money manager who uses my methods, since I won’t manage other people’s money. That is especially true now with the volatility in the market place as of late. The thing is, almost all money managers I know use their own systems. But many subscribe to my services and share my thoughts about the future of the economy, various financial markets, and how to position one’s portfolio along these lines. One money manager who subscribes to our services that I would suggest for those looking to structure a longer-term portfolio, such as a retirement account, is Duke O’Neill of Capstone Capital Wealth Management, Boulder, Colorado. He can be reached at dukeoneil1@gmail.com, or 1-(303) 247-0600. For those looking for a professional trader of commodity and futures contract might consider Ted Lee Fisher at ted.fisher@comcast.net. Ted is a legend in financial futures and has a seat on the CME. Both are very knowledgeable of the tools I use, of the way I am looking at markets, and yet each makes their own decisions as to exactly when to enter and exit any market.

September 23-26, 2010: Buenos Aires! Seminar on Financial and Mundane Astrology with Raymond Merriman and others, with special emphasis on Argentina’s Merval Index and precious metals and whatever else is of interest to participants, for each Financial Astrology workshop is different. For more information, contact Claudia Rizzi at astrologycr@gmail.com, or visit our web site at www.mmacycles-spanish.com. If you only speak Spanish, go to www.astrologiamundana2010.blogspot.com. We may host a special gathering of MMA Subscribers at the end of the seminar, depending on interest expressed.

October 1-2, 2010: Rio de Janeiro! Workshop on Financial Astrology with Raymond Merriman, plus a Mundane Astrology panel with Merriman and others. The workshop will have with special emphasis on Brazil’s Bovespa Index and precious metals, and whatever else is of interest to participants. For more information, contact Renato Chebar at astrologiafinanceira@gmail.com. We will host a special gathering for MMA Subscribers on Sunday, October 3, the day of Brazil’s elections!!!

January 5, 2011: Forecast 2011! Speech and live webcast from Birmingham, MI. Details to be announced soon.

January 14-16, 2011, Zurich, Switzerland. “Forecasts 2011” symposia featuring top mundane and financial astrologers, plus one day workshop on Financial Market Timing with Ray Merriman, to be followed by a special meeting with MMA Subscribers (at no cost). For more details, go to www.astrodata.ch.

March 10-12, 2011: Mexico City, Mexico. Speech on Forecasts 2011, and workshop on “Evolutionary Astrology: The Journey of the Soul Through States of Consciousness.” For information, please contact acuario888@gmail.com.

September 1-8, 2011: Bali! "Financial Astrology" Intensive workshop with Raymond Merriman, and "Mundane Astrology" with Claude Weiss. For more information on this unique week-long intensive and incredible South Pacific paradise adventure, go to http://www.heavenandearthworkshops.com/financial.html.

The MMA Catalogue of products and services for 2010 is available for download in PDF at http://www.mmacycles.com/option,com_docman/task,doc_download/gid,161/Itemid,63/. The ordering page is the last page of the catalogue. This is especially useful for those outside of the USA, since we do not send these by snail mail unless requested.

Disclaimer and statement of purpose:

The purpose of this column is not to predict the future movement of various financial markets. However, that is the purpose of the MMA (Merriman Market Analyst) subscription services. This column is not a subscription service. It is a free service, except in those cases where a fee may be assessed to cover the cost of translating this column from English into a non-English language.

This weekly report is written with the intent to educate the reader on the relationship between astrological factors and collective human activities as they are happening. In this regard, this report will oftentimes report what happened in various stock and financial markets throughout the world in the past week, and discuss that movement in light of the geocosmic signatures that were in effect. It will then identify the geocosmic factors that will be in effect in the next week, or even month, or even years, and the author’s understanding of how these signatures will likely affect human activity in the times to come. The author (Merriman) will do this from a perspective of a cycle’s analyst looking at the military, political, economic, and even financial markets of the world.

It is possible that some forecasts will be made based on these factors. However, the primary goal is to both educate and alert the reader as to the psychological climate we are in, from an astrological perspective. The hope is that it will help the reader understand these psychological dynamics that underlie (or coincide with) the news events and hence financial markets of the day.

No guarantee as to the accuracy of this report is being made here. Any decisions in financial markets are solely the responsibility of the reader, and neither the author nor the publishers assume any responsibility at all for those individual decisions. Reader should understand that futures and options trading are considered high risk.

Copyright MMACycles 2007; you may link to this site or page, but you may not distribute these texts in any way (by email or otherwise).

Archives

Previous weeklies (2006) are archived at www.olmta.com

For other language editions of MMA´s weekly comments:


Owners of websites:

This Weekly Market Climate is available for co-branding. Call 1-800-662-3349 for details.