Menu Content

Merriman Market Analyst

Home arrow Weekly Preview arrow MMA Comments for the Week Beginning August 1, 2011
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
MMA Comments for the Week Beginning August 1, 2011
Written by Raymond Merriman   

Review and Preview

“They were the world’s richest and shrewdest investors, and they rode a wave of globalization to buy bonds in a promising developing country. When that country defaulted, they were livid. The year was 1842 and the country was the United States.”
- Nicholas Kristof, in the September 20, 1998 issue of New York Times International

According to media reports (which has now become the accepted and conventional belief), this will be the first time the USA has ever defaulted on its debt obligations. But as highly respected financial reporter Nicholas Kristof reported in 1998, that is not the case. A lot of hype and exaggeration tends to occur when Mercury is connected with Sagittarius. Ideas presented as facts are not always true and it is a challenge just to separate the bluster from the truth

Unfortunately, what happened last week was true. I mean, the worst side of heliocentric Mercury in Sagittarius (July 19-31) proved to be as panic-driven and hysterical as suggested could be the case. At first this transit started out as euphoric and optimistic. Stock markets rallied smartly the first three days as hope leaped, based on the possibility of a USA debt ceiling  agreement. But as indicated in last week’s column, “…it was perhaps not a surprise that investors were looking for any reason to buy. They got not one, but as many as three possible reasons last week, none of which is based upon anything more than hope.”

Last week reality trumped hope. The stock markets of the world topped out July 21-22 (the prior week). But as the dysfunction (President Obama’s words) of the White House and Congress trying to agree upon a plan to raise the debt ceiling limit became more and more apparent to investors, stock markets began falling, and they fell all week. And now we come to the so-called “deadline” of August 2 when the USA will not have enough funds to meet all of its financial obligations, thereby courting the dreaded “default.” But here is a heliocentric Mercury in Sagittarius riddle: if there is going to be a default, why did U.S. Treasuries soar last week to their highest level since the financial meltdown of late 2008? Somebody knows something, and what is being reported is clearly not everything. Who is buying U.S. Treasuries in this environment?

But the drama in D.C continues. Will there be any adults in the room as the pressures mount to forge an agreement before it is too late (and just exactly when is “too late?”)? There are not likely many adults in the room now in any event with the Sun in Leo (Leo rules children) and in square to Jupiter (Jupiter rules exaggeration, bluffs, and hysteria). Where is Saturn (the adult in the room) when we need him? Well, he is over in the Gold market, stocking up on the real future currency as the Dollar and Euro continue to be suspect, given the karma now coming forth from governmental fiscal mismanagement and corruption in the financial community over the past decade in both regions of the world. But what good does it do to cast blame over past behaviors? The problem is in the present: the inability or unwillingness of leaders in both fields (as well as banking) to change courses and fully recover from the addiction of spending beyond one’s means. Overcoming such addictions is never easy, especially when you don’t understand the causes (not that I do, but like everyone, I want leaders who understand and who also have the well-being of those they serve at the forefront of their behaviors). There are some on both sides of the aisle.

 The biggest star last week was once again Gold, which soared to another new record high of 1637/ounce in the December contract. The Swiss Franc and Japanese Yen also soared to new record highs against the U.S. Dollar. The Swiss Franc is now nearing the 130 target that I gave in the presentation to the ICE traders last October (http://www.youtube.com/raymondmerriman). It surpassed 127 last week.

Short-Term Geocosmics

 We now come into the Mercury retrograde time band (August 2-26) and a slew of other “not-so-funny” signatures discussed the prior two weeks. In what is becoming an unhealthy and regular pattern, the U.S. Congress and White House will probably make an important policy decision under Mercury retrograde. And once again everyone is likely to discover that whatever they agreed upon will have to be revisited and debated again, because they didn’t have time to read and comprehend clearly the whole deal. There is likely no long-term acceptance of what is about to pass in Congress. Yes, I think something will pass shortly on the debt ceiling, but it won’t solve the problem. It is more likely to create new ones, unless they willingly agree to a temporary solution, and respectfully revisit it again under more favorable cosmic conditions, something the President has said he won’t accept.

 But in terms of markets, this next week is potentially very critical. Of most importance (in my view) is transiting Mars entering Cancer on August 3. It will immediately conjunct the USA’s natal Venus and Jupiter, the Federal Reserve Board’s natal Pluto (opposition to its natal Sun), and President Obama’s natal Venus. And during this same period next week, Obama will celebrate (or curse) his 50th birthday on August 4. Mars entering any cardinal sign is a big deal for Financial and Mundane Astrologers. Many financial markets - especially those related to the interest-rates (Treasuries, currencies) - are most vulnerable to reversals. Its history implies a sudden and major change in investor sentiment regarding markets, for one week later Mars will then form a T-square with Uranus and Pluto (August 8-10). They are now within only one degree of a square to one another. It may not be easy being a leader in government, banking, and  business,  pivoting so suddenly, and probably in a self-serving manner by which they hope to deflect any criticism. It’s going to get extremely emotional, so try your best to act like “the adult in the room” wherever you are. You’re likely to see some very immature behaviors exhibited, like “tantrums.”

Longer Term Thoughts 

 “Addressing the current federal debt ceiling crisis by itself is no fix at all,” the group led by BlackRock, the world’s largest money manager said in an open letter on Monday. The consequences of a downgrade from Triple A status would be “very real and very serious,” the letter said. It would mean higher interest rates over the course of many years ahead and risks the US dollar losing its status as the world’s reserve currency…"
- Financial Times, July 26, 2011, “Custodians Issue Deficit Warning.”

Funny, isn’t it? The very consequences described in these columns and the Forecast Books of the past two years, based on the historical correlation of planetary cycles to human activity, are now being addressed by mainstream news reports. The U.S. Dollar may lose its status as the world’s reserve currency as a result of a downgrade of its creditworthiness, which is a result of the inability (or unwillingness) of leaders to control the continuously escalating debt crisis. That’s now news! But it is old news to Financial Astrologers.

How did we first pick this theme up via our understanding of Financial Astrology? It wasn’t that hard (but somebody had to do it). We start with the waning phase of the Saturn-Pluto cycle (opposition to conjunction), which lasts 16-20 years. In the current case, it is in force between 2001 and 2020 (before that it was 1966-1982). Historically this is a period in which government spending increases greatly, and more than federal revenue receipts. As a result, the deficits and debt of a nation increases greatly too. In order to make up this difference, governments usually have to borrow more money (in the form of bond issuance) and increase taxes, both on individuals and corporations. But then unemployment increases and the economy starts to stagnate shortly after, as there is less money for consumers to spend, and therefore less demand for goods and services in the private sector. Interest rates also go up and stock markets suffer steeper declines and more frequent bear markets. The economy enters more frequent and deeper recessions coincident with these policies during this phase of the Saturn-Pluto cycle.

Secondly, the forecast of the Dollar losing its status was a matter of comparing the transits of the furthest out planetary movements to the charts of the USA and the Federal Reserve Board, the true custodians of the U.S. Dollar’s value. Pluto, as written many times in this column, pertains to debt. Venus is its currency. When the transit of Pluto, Neptune, or Uranus form a hard aspect (conjunction, square, or opposition) to one’s natal Venus or Jupiter, there is a danger of spending more than one can afford and thereby flirting with the prospect of bankruptcy (or default). The U.S.A. chart (born July 2 or 4) has its natal Venus and Jupiter in the first five degrees of Cancer. The Saturn-Uranus-Pluto T-square last year was in the first five degrees of Aries, Libra, and Capricorn, making a grand square to the USA natal Venus-Jupiter. Thus four of the possible six combinations of potential bankruptcy were present, and both Pluto and Uranus will remain in the celestial region until 2013. Additionally, the Federal Reserve Board (born December 23, 1913) also has its natal Sun-Pluto opposition in the first two degrees of Capricorn and Cancer, again part of a grand square to Saturn, Uranus, and Pluto, of which Uranus is still in force.

Will the USA default on its debt? Well, it happened in 1842. That was part of a major economic depression period for the USA. It was shortly after President Andrew Jackson terminated the USA’s central bank, the equivalent of today’s Federal Reserve. The USA government, and not an independent bank, became the custodian of the USA funds. It didn’t work out so well then. If the USA Dollar loses its status as the world’s reserve currency, it probably won’t work out so well for the either Federal Reserve or the USA economy this time either. What was going on in 1842 was very similar to what was going on in 2010. Saturn and Pluto were right in middle of their waning phase.

Yet even though there are similarities between then and now in terms of planetary cycles and economic conditions, the result does not have to be the same. After all, that is the higher purpose of cycles: to recognize what has worked and what hasn’t worked when a particular cycle returns, and to maximize that which does work while countering that which didn’t work with a different behavior. It’s called “awareness, openness, and choice,” as opposed to  “ignorance, entrenchment, and denial.” One is highly functional, the other greatly dysfunctional.

 

Announcements

The monthly MMA Cycles Report and its companions – the MMA Japan Cycles Report and MMA European Cycles Report – will come out this week, Monday and Tuesday, via posting on our web site, and attachment via direct emails, for subscribers. This report covers our longer-term analysis of the U.S. stock market, precious metals, crude oil, currencies, Treasury Notes, grain markets, and now GLD and SLV – the ETF’s of Gold and Silver. The MMA Japan Cycles report covers the Nikkei, JGB Bonds, and the Dollar-Yen. The MMA European Cycles Report covers the German DAX, Swiss SMI, and Netherlands AEX, each in English only, and will be available on Wednesday. Go to http://www.mmacycles.com/catalogue/subscription-services/mma-cycles-report/, for further information and subscription.

The DVD of the Denver Workshop on Financial Market Timing is now available!!! This financial markets workshop offers a completely unique and original perspective, integrating 1) Market Timing studies, 2) Price Objective calculations, 3) Technical Analysis, 4) Pattern Recognition studies, and 5) Trend Analysis. The primary focus of this workshop is on Market Timing Studies, particularly Cycles Analysis and Geocosmic Studies, as leading indicators that identify when to anticipate a reversal in all financial markets. Gold and the U.S. stock market are studied in great detail, especially regarding their current status. There is a wealth of timely and valuable information in this DVD, especially pertaining the forthcoming Venus retrograde period (May 15-June 27), the forthcoming Uranus-Pluto square of June 24, 2012, lasting through March 2015, and the important Jupiter correlation to stock market cycles coming up August-November 2012 and March-May 2013. The cost for this 4-hour DVD workshop is $180.00 plus postage. To order, please go to http://www.mmacycles.com/catalogue/multimedia/dvd-of-boulder-workshop-on-financial-market-timing!!!/. Or call Amber at 1-248-626-3034. If you are a trader or investor who appreciates the value of market timing – especially in the next few months – this is a presentation you will not want to miss!

 

June 23: A special 5-hour workshop on “The Gold Market: Forecasting the Future Price of Gold and Silver.” 1:00 PM – 6:00 PM, Hotel Park Plaza Victoria. Amsterdam, Damrak 1-5, Amsterdam 1012 LG, Netherlands. Sponsored by Schogt Market Timing. This is a special workshop on precious metals you will not want to miss!!! Cost is €345 ex VAT. Subscribers of any MMA reports (trials excluded) receive a 15% discount. For further information, please go to http://www.markettiming.nl/en/producten/workshop-gold-silver, or call 31 (02) 294 415 917, or by fax at 31 (02) 294-415-918 to register for an exciting event in one of the world’s most exciting cities at the most exciting time of the year: the first Uranus-Pluto square will be taking place then, right near the summer solstice! This will be special, and a great opportunity to meet some very impressive market timers who will be present. Register now as seating is limited!

Raymond Merriman’s “On-Line Market Timing Academy” (OLMTA) will offer a pre-training course on “Beginning Principles of Geocosmic Studies for Financial Market Timing,” September 15-16, in Troy, Michigan, at the Management Education Center of Michigan State University. This 10-12 hour course may be attended live, in person, or via webcast televised to your computer. A DVD will be available afterwards as well. This workshop will basically train non-astrologers in the use of reading an ephemeris, the table of planetary positions for any given day. This is essential to anyone who wishes to understand how to find a geocosmic critical reversal date for financial markets. This course (or audit of it) is a pre-requisite for anyone entering the OLMTA market training course, as developed and instructed by Raymond Merriman. The OLMTA two-year training course will begin in March 2013, and will involve 8 weekends of study – 4 weekends each in 2013 and 2014. For more information and registration, please go to www.mmacycles.com (front page, near bottom). We will make announcements as this training program unfolds. The cost for the September 15-16 pre-training workshop is $395.00 ($300 for MMA subscribers). This cost will be deducted from the fee of the two-year training course to those who apply and are accepted into OLMTA by late October 2012.

 

If you are an active short-term trader, or even if you are an investor who likes to keep up with our current thoughts on financial markets, you may be interested in our Weekly or even Daily Market reports with position trading and aggressive 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), Dollar/Yen cash and Yen futures, Euro-Yen cash, T-Notes, Crude Oil, Gold and Silver. The daily reports cover all stock indices listed above, as well as futures in Euro, T-Notes, Gold and Silver. Both reports provide trading strategies and recommendations for position traders as well as for shorter-term aggressive traders. 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. These reports are extremely valuable to those who trade ETF’s (Exchange Traded Funds). In the words of one of our subscribers: “I am really pleased with your recommendations through the Daily and Weekly Trade Recommendations.  I have used them to trade gold and silver stocks in my IRA.  In the last eight years I increased my account from $60,000 to $850,000.  Thanks for your excellent publications.” - Bryden C., Small Business Owner, Illinois.

NEW! Now available Mini-Congress ‘Outlook for 2012’ on CD!!! Recordings of the congress “Outlook for 2012,” held January 21, 2012 in Amsterdam, are now available on CD, with audio and PDFs of PowerPoint slides. All lectures are spoken in English. The following presentations are included on this CD:  “2012 End Time of Dawning” by Irma Schogt (20 minutes);“Happy New Year” by Drs. Karen Hamaker-Zondag (20 minutes , regarding ECB and Federal Reserve Board); “2012: The Center of the Storm” by Antonia Langsdorf (20 minutes, regarding Mayan calendar and astrology); “Forecast for 2012” by Raymond Merriman (1 hour). Total length 2 hours, with PowerPoint slides sent online in a PDF document.  Cost is $55.00 plus postage. Please go to http://www.mmacycles.com/the-news/about-mma/cd%27s-now-available-on-the-forecast-2012-mini%11congress-in-amsterdam,-january-21,-2012/, or www.mmacycles.com for ordering info.

Our new 2012 MMA Catalogue is now out!! You can download this catalogue directly at http://www.mmacycles.com/index.php?option=com_docman&task=cat_view&gid=41&Itemid=63.

EVENTS:

May 24-29, 2012: UAC!!! The world’s largest astrological conference. Taking place at the New Orleans Marriott Hotel. Go to www.uacastrology.com. There will be an awesome Financial Track, featuring some of the top Financial Astrologers and researchers in the world. There will be private meeting for MMA on Friday evening on the top floor of the Marriott. If you are interested in attending, please contact us and reserve your space! No cost to subscribers! Otherwise $95.00 to participate.

June 23: Amsterdam. A special 5-hour workshop on “The Gold Market: Forecasting the Future Price of Gold and Silver.” 1:00 PM – 6:00 PM, Hotel Park Plaza Victoria. Amsterdam, Damrak 1-5, Amsterdam 1012 LG, Netherlands. Sponsored by Schogt Market Timing. This is a special workshop on precious metals you will not want to miss!!! Cost is € 345 ex VAT. Subscribers of any MMA reports (trials excluded) receive a 15% discount. For further information, please go to http://www.markettiming.nl/en/producten/workshop-gold-silver for an exciting event in one of the world’s most exciting cities at the most exciting time of the year: the first Uranus-Pluto square will be taking place then, right near the summer solstice! This will be special. You may also register by calling 31 (02) 294 415 917, or by fax at 31 (02) 294-415-918. Register now as seating is limited!

August 2-6, 2012: Midwest Astrology Conference, in Ann Arbor, MI, Holiday Inn. Pre-seminar workshop on Financial Astrology, Thursday, August 2, with Raymond Merriman. More details soon.

 

September 15-16, 2012: Troy, Michigan. OLMTA – the On-Line Market Timing Academy – will conduct it pre-curriculum introductory workshop on “Basic Principles of Geocosmic Studies for Financial Market Timing.” This will be an introductory course on how to read an ephemeris and how to calculate a critical reversal date. It is open to anyone, but understanding this material is mandatory for anyone entering the MMA mentor-apprenticeship program that will officially start in March 2013. This introductory workshop will be available as a live webinar too. The cost is $300 to subscribers of any MMA subscription report, or $395 to others. For further information, please contact mmacustomerservice@gmail.com or ordersmmma@msn.com.Or go to www.mmacycles.com, and scroll down to the bottom of the first page.

 


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).

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.