Please note that the Forecast for 2009 book is now completed and at the printer. It will be delivered this Wednesday to all pre-publication orders that are received by noon this Monday. Those received after noon will be delivered by December 15.

Review and Preview

Stock markets around the world traded in relatively narrow range last week, compared to what we have been experiencing since last September. However, within the weekly range, there were at least three sharp short-term reversals. Early in the week, the indices made a low. They then rallied sharply into a high Wednesday-Thursday. They then fell again sharply on Friday. For those that remained open until the close in the United States, there was then a sharp rally into the close on Friday. The S&P contract, for example, made its high of the week at the end of the day on Friday, after testing the weekly low earlier that day. Unlike the prior week, this past week was volatile and composed of very sudden changes, which continues to be a characteristic of strong Uranian influences. They have been present since last January, and they are likely to remain mostly present for another two years. We are in a New Era of volatility. The key to success will not be the “buy and hold” strategies of last century. It will be a result of one’s ability to be quickly adaptable to sudden changes, and to spot trading opportunities as they arise.

Other markets were more remarkable last week. The grains, for instance, continued an incredible plunge from their all-time highs of last spring and summer. Remember when bakers were complaining about the high cost of Wheat last winter and spring? It was selling at $13.34/bushel. On Friday, Wheat was trading at $4.55/bushel, down over 65% now. Corn was testing $8.00/bushel in late June. On Friday, the nearby contract was down to $2.90. Soybeans recorded their all-time high at $16.63/bu on July 3. On Friday, the nearby contract was down to 776. Or how about our old friend, Crude Oil? After making an all-time high of $147.27/barrel on July 11, it was down to $40.50 on Friday. Other notable markets last week were T-Bonds and Treasuries. They soared, with the former making a new all-time high on Friday’s dismal employment report. They went up to 136/03 intraday. And the Dollar continues to plummet against the Japanese Yen, testing its lowest level in 13 years. But strangely enough (there is that Uranus word again), the Dollar continues to be strong against the Euro currency.

 Short-Term Geocosmics

 The principles associated with Uranus will be in full display during the next 1-2 weeks. On Friday, December 5, the Sun formed a conjunction to Mars in the potentially explosive sign of Sagittarius. From December 10 through December 15, both the Sun and Mars will form a square to the Saturn-Uranus opposition (T-square). This is known as a “translation” of the faster moving bodies (Sun and Mars) to the longer-term planetary cycle (Saturn in opposition to Uranus). If the last year is any guide, we should expect a sudden downturn in the equity markets, either going into the aspect, or right as it begins. How long the downturn will last is anyone’s guess. The last time we had such a translation was when Venus translated by square to the Saturn-Uranus opposition, the day before the U.S.A. Presidential Election (November 3). That was a high in the stock market that has not been seen since. In fact, many equities markets plummeted to new multi-year lows from November 4 through November 21. The Dow Jones Industrial Average, for instance, fell from 9654 to 7449 in those two weeks. It could happen again, especially if there is some sudden surprise event that rocks the world. With Uranus, you never know what the event will be, but only that it is sudden and perhaps shocking. Uranus rules earthquakes, but in these aspects, it also rules terrorist attacks, accidents, and maybe fires. Do not expect things to unfold according to plan these days. It is a not a time to achieve consensus with world leaders. It is a time that suggests disputes and disagreements, so maybe it is a good idea that lawmakers take off for the holidays. Otherwise they may say and do things they regret almost immediately. On the positive side (yes, there is also a positive antidote), it can enhance brilliant, innovative thought.

 We should also note that Pluto is now back in Capricorn, and headed to the Sun of the Federal Reserve Board chart, and in opposition to its own natal Pluto. Earlier I pointed out that Bonds were at an all-time high, which means interest rates and yields are at historic lows. If you need a loan or mortgage, and can get it, lock it in now. I don’t think you will be seeing these levels again in this lifetime. Why? Everybody talks of deflation. But the only way I can see out of this economic free fall is to create more money and inflate. With Pluto in such a prominent position to the FRB chart (Dec 23, 1913, time unknown) during all of 2009, and Saturn and Uranus both coming up to form a grand square to its natal Sun-Pluto opposition the year after, I don’t think this entity will have the power it has today. Or else it will have more power than is healthy for this society. Huge changes are likely in store for the FRB, its leader, and consequently for the people of the United States regarding the value of money.

Longer-Term Thoughts

 This past week, the National Bureau of Economic Research proclaimed that the United States entered a recession one year ago, in December 2007. I find this choice of commencement quite interesting in view of both Financial Astrology and Technical Analysis, or Chart Analysis. How is it that one year afterwards, you can step back and say that is when it started, especially since it doesn’t follow the previous definition of a recession, which was two consecutive quarters of negative GDP readings? It seems sort of like this group of Astronomers two years ago who made the proclamation that Pluto was really not a planet, but rather a planetoid, or a dwarf star, or anything but what almost every astrologer believes: it is – or acts like – a planet.

 Here is what is interesting about proclaiming December 2007 as the start of a recession, which continues today, 12 months later. If we accept this determination, it is already the 3rd longest recession since the 13-month one that began in May 1937. The recessions of November 1973-March 1975 and July 1981-November 1982 were 16 months long apiece. The longest one was 43 months, beginning in August 1929. This current one is four months shy of being the second longest recession. I don’t know if this will end up being the longest one or not, but I think the 56 months of the two consecutive ones that started in August 1929 and June 1938 could be challenged between this one and the next one.

 But let’s back up a minute and examine how December 2007 correlates with Financial Astrology and market history. Saturn and Uranus entered opposition November 4, 2008. Historically, major stock market cycles would culminate within 10 months of one of these passages. That implies there is some kind of “orb of influence” to this cycle that can be noticed up to 10 months before this passage, which would equate to January 2008 (one month after the arguably designated recession starting point of December 2007). It so happens that it was around January 10, 2008 that the DJIA broke below 12,500. Technically speaking, this was an important point in the support of the stock market, which is likely to have a direct relationship with the economy. As stated in the Forecast 2008 book, “I would give this outlook (bearish) more validity if the DJIA breaks under 12,500. If so, then look for a decline into 2008 (or even late 2007) to 11,738 +/- 288, or even a re-test of the July 2006 lows at 10,683, before prices exceed the 14,198 high of October 11, 2007. It could be even more if the long-term cycle topped out in October 2007. We could be in a new bear market.” This was written in November 2007. Those original price targets of support seem so far away now. But back then, they seemed quite safe.

 But what about the idea that the stock market is a leading indicator of the economy by about 3-9 months? How could that be if the all-time high was in October 2007? That would suggest the economy would not top out until January-July 2008. Well, one could argue that maybe the recession didn’t really get underway until after May 2008. After all, the DJIA rallied for four months after that low on January 22. The DJIA made its yearly higher (after January) on May 19, 2008, during the historic UAC (United Astrological Conference) gathering, at 13,136. By July 15, it was down to 10,800 areas, testing that 10,683 low of July 2006, as described earlier. But it still wasn’t a full fledged crisis yet. That wouldn’t happen until the full moon, which conjunct the Saturn-Uranus opposition, on September 15. That, to me, was the official commencement of the great economic crisis of 2008. Interesting enough, we have another important full moon happening this coming Friday, forming a grand square this time to the Saturn-Uranus opposition. In other words, what happened on September 15 has a connection to what is about to happen around December 12-15. They are three months apart, and the same solar-lunar, Saturn-Uranus relationships. If you are trading, you better be very nimble.

 We should also note that Pluto is now back in Capricorn, and headed to the Sun of the Federal Reserve Board chart, and in opposition to its own natal Pluto. Earlier I pointed out that Bonds were at an all-time high, which means interest rates and yields are at historic lows. If you need a loan or mortgage, and can get it, lock it in now. I don’t think you will be seeing these levels again in this lifetime. Why? Everybody talks of deflation. But the only way I can see out of this economic free fall is to create more money and inflate. With Pluto in such a prominent position to the FRB chart (Dec 23, 1913, time unknown) during all of 2009, and Saturn and Uranus both coming up to form a grand square to its natal Sun-Pluto opposition the year after, I don’t think this entity will have the power it has today. Or else it will have more power than is healthy for this society. Huge changes are likely in store for the FRB, its leader, and consequently for the people of the United States regarding the value of money.