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MMA Comments for the Week Beginning July 28, 2008


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The last two weeks have presented an interesting drama between the various aspects of geocosmic studies, and the market behavior in a distorted primary cycle.

On July 10, Mars began its “translation” of the forthcoming Saturn-Uranus opposition. On that day, it formed its conjunction with Saturn. On July 15-16, three-four trading days later, many (but not all) of the equity markets of the world ended a multi-month decline at their lowest levels in about two years. This was also at the end of the “Sagittarius Factor,” a 2-day monthly lunar cycle zone when the moon is in Sagittarius. This particular solar-lunar cycle has a higher than average correlation to reversals in U.S. stocks. The Dow Jones Industrial Average, for example, dropped to 10,827 on that day, July 15, its lowest level since its July 18, 2006 low of 10,683.

By Wednesday-Thursday of this past week, July 23-24, as the Moon was in Aries, the stock markets topped out and then had a very sharp one-day decline. In the DJIA, for example, the index had risen to 11,698, a gain of over 860 points in only 6 trading days, or nearly 8%, well above the 4% minimal level that the lunar reversal signature from July 16 indicated. But on July 24, the DJIA fell 283 points in just that one day. The high of July 23 took place under the very powerful solar-lunar reversal signature of the Leo-ingress Sun and Aries moon. This solar-lunar cycle has a weighted value score of +183. Anything over 120 has a “better than average” probability of reversing from an isolated low or high, according to the studies in “The Ultimate Book on Stock Market Timing, Volume 4: Solar-Lunar Correlations to Short-Term Trading Reversals.” Anything over +150 is very strong, and above +200 is unusually strong. This was one of the stronger solar-lunar correlations to a short-term trading reversal. And it worked immediately. Thus it was an excellent signal because a trader’s greatest goal is to achieve “maximum profit potential with minimal market exposure.” Application of the solar-lunar studies do not get any better than these last two instances of July 15-16, and then July 23-24. By the way, these solar-lunar weighted values are now given daily on our web site at www.mmacycles.com.

But back to the Mars “translation” of the forthcoming Saturn-Uranus opposition. The low of the move occurred on July 15 (in the DJIA), the 25th week from the previous primary cycle low of January 22, when the DJIA had put in its prior yearly low at 11,634. That level was surrendered, plus another 800 points, into the low of July 15. Yet at the same time, the NASDAQ Composite only fell to 2167, which was 12 points higher than its yearly low of March 17, 2008. It didn’t fall back to its 2006 levels. It didn’t even fall below its low of March 17, 2008. This is a classical case of “intermarket bullish divergence.” This pattern, in a distorted primary cycle and at the end of a very long and heavily populated geocosmic time band, might account for the strong upsurge that began on July 16, even with Mars in translation to the forthcoming Saturn-Uranus opposition. Typically, primary cycles in the DJIA last 13-21 weeks. Since this one lasted 25 weeks, it was a “distortion” (expansion) of the normal primary cycle. When primary cycles “distort” and occur outside of their normal time band, it is usually followed by powerful rallies that can last several weeks. Now let’s see if this one does the same. Or, in typical Uranus fashion, will this market make another break back down either during or at the end of this “translation” period, which lasts into August 6? Besides that, the Mars-Uranus opposition at the end of this period can coincide with more earthquakes, tornadoes, hurricanes, electrical blackouts, accidents or even a terrorist event. It is not wise to take on risky ventures.

And has anyone noticed that Crude Oil is now falling rapidly since the Sun-Jupiter opposition of July 9, in line with its 18-month cycle low that is due anytime before the end of October? Our call for a $30.00-50.00 decline by October is coming close, as Crude Oil has now declined $25.00 in just two weeks.

Short-Term Geocosmics

 This week begins another critical reversal zone. But this time it is much more limited and therefore focused. From July 26 through August 6, there will be four major geocosmic signatures present. The middle of that period coincides with the solar eclipse of August 1, so there could be a strong “eclipse-effect” upon world financial markets within one trading day. August 1 also coincides with the release of the Unemployment and Payroll reports in the USA. The combination could be dramatic, especially given that it is a solar eclipse in the sign of Leo, the sign of drama. Oftentimes this type of eclipse also has a correspondence to big price swings in grain prices.

Longer-Term Thoughts

Presidential election years in the USA seem to produce unusual market patterns. Conventional wisdom (and a good deal of historical data) holds that the U.S. stock market generally rallies into an election, and then falls into the middle of the President’s four-year term. In actual practice, however, the stock market rallies into an election and tops out afterwards when the same party is voted back into office. If this tendency continues, it would suggest that the low of July 15 would hold, and a new bull market, leading to all-time highs, would be underway and would last into 2009, if Republican John McCain was to be elected. On the other hand, if the Democratic party and its candidate Barack Obama is to be victorious, this would suggest that the U.S. stock market has already topped out. It will not make a new high this year.

But through various studies that I have published, there is also a pattern of the “Pre-Presidential Election Year” trough that occurs between October and March preceding the election. Sometimes this trough can be very unnerving, and expands as late as July. It can even take out the low of the previous year or two. There are only two instances in the past 50 years which have relevance to this year’s election cycle. In 1960, the U.S. stock market also made a low in July, followed by a sharp 4-week rally that did not make a new yearly high. The market then plunged to a 2-year low right into the election. That was the year John F. Kennedy, the young and charismatic Democrat, won a narrow victory over the more experienced Republican, Richard Nixon. The Republicans had held the presidency under Dwight Eisenhower for the prior 8 years. Many believe this year’s 2008 election has many of the same qualities – and themes – as the 1960 one, with many comparisons between the young and charismatic Barack Obama to John F. Kennedy. After the stock market low that formed right near the election date, a new bull market commenced that took the DJIA to record highs in the following 9 months.

The second instance took place in the 1984 election. The incumbent, Ronald Reagan, was mired in a political scandal involving support of Nicaraguan rebels. From an all-time high in October 1983-January 1984, the stock market began a multi-month decline that also lasted into July 1984. It fell to its lowest price since early 1983. But then it suddenly reversed, starting a rally that would carry it to new all-time highs into August 1987. Reagan and the Republicans won re-election in landslide.

What can we learn from the past regarding this year’s election? Any new low in the U.S. stock market between now and the election probably favors an Obama victory. And a new high probably favors a McCain victory. The fact that the DJIA took out its lows of January and March is not a conclusive sign that this is a bear market. There have been instances in the past where this has happened as late as July in an election year, and the market still soared to make new yearly highs shortly afterwards. Very few people expect this, of course, because this is not the “normal” chart pattern. But it has happened before and can still happen again. But if the market makes a new yearly low after July and before (or into) the election, it usually portends a change of party in office. It means the current party in office is losing its power and the support of its people. With a 29% approval rating for the current Republican president – the lowest on record – Republican candidate John McCain has his work cut out for him.

But there is one question I would like to ask Senator McCain (and Senator Obama), given my comments in last week’s column regarding the abundance of aspects in his (McCain’s) chart to the Mars position in the USA chart, and its correlation to expanding military activities if President: Would you re-institute the military draft? Americans (and others around the world) would like to hear some “straight talk” on that question. With Pluto going into Capricorn for 15 years immediately after this election, the symbolism of forced (involuntary) military service is certainly a strong possibility in many countries, including the USA, which has Pluto in Capricorn natally. This can be a signature of excessive nationalistic tendencies by world leaders, to the point of forcing citizens to work for (serve) their countries, even against their will, in the name of patriotism.

 

 

Announcements

We are now accepting orders for the Forecast 2011 book now via phone (1-248-626-3034), fax (1-248-538-5296), email (ordersmma@msn.com), or through our shopping cart online (www.mmacycles.com). We are pleased to announce the price will remain the same as last year. That is $55.00 if ordered after October 31, and $45.00 if ordered before (plus postage). We will also be offering special 10% discount rate for our subscription services to those who also pre-order Forecast 2011. This is a great deal, for in the words of one of our daily subscribers recently, “I don't know whether you want to hear/take any comments at all but I wanted to say that, so far, I am a very happy camper and the only thing which I think that I did wrong with subscribing to your service that I did it TOO LATE! What was I thinking....? :-)" – R. Rood, Lugano, Switzerland, futures trader and technical analyst, former cash grain trader.

For a review of the forecasts from the Forecast 2010 book, please go to www.mmacycles.com, and scroll down to about the third or fourth article on the opening screen. Or go directly to http://www.mmacycles.com/the-news/about-mma/scorecard-for-forecasts-2010/.

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. 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, call our offices at 1-248-626-3034, or go to http://www.mmacycles.com/services. 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.” Order now with the Forecast 2011 Book and receive a special 10% rate reduction on these services through October.

The monthly MMA Cycles Report and its companions – the MMA Japan Cycles Report and MMA European Cycles Report – went out last week. If you are a subscriber and did not receive it, contact us 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. These reports are included in the Japanese, German, and Dutch translated MMA Cycles Report respectively. New yearly (or renewing) subscribers to these reports will receive a free copy of the Forecast 2010 book while supplies last (see below). You also qualify for a special discount on a yearly subscription if at the same time you pre-order Forecast 2011. For subscription information, please go to SERVICES at www.mmacycles.com.

CD’s DVD’s, and MP3’s 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 was right before the astrological midpoint of the Cardinal Climax, which is taking place now. 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. It is interesting to see how the stocks, grains and currencies moved right up into this time band, as outlined in this presentation. You won’t want to miss this. Order now, because most of the trading opportunities presented are in effect mainly from July 21 through October 8, 2010!!!

ForumOnAstrology.com is holding a three-day video conference on Friday, Saturday, and Sunday, October 1st, 2nd, and 3, 2010. This pioneering Internet astrological conference features dozens of internationally known speakers.  Very economically priced, all participants have access to all live broadcasts with the ability to replay them from the archives for up to three months. Call (212) 929-4507 or email Inquiries@ForumOnAstrology.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 uncertainty 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 exactly when to enter and exit any market. I would also like to recommend long-term MMA subscriber Erwin Brunner of Zurich, Switzerland. Mr. Brunner is the founder of BrunnerInvest AG. One of his five funds was awarded the “Best in-house fund of funds” in the world recently. Mr. Brunner is a former director of the Swiss Banking Corporation (today it is known as UBS), and a general director of Rothschild Bank in Zurich. As an independent wealth manager for high net worth individuals and institutional clients only, he places his clients into the funds of the best performing fund managers in the world, via his own research and experience. For high net worth readers interested in Mr. Brunner’s funds, please contact him through www.brunnerinvest.ch.

 

OK. You’ve asked about classes in Financial Astrology, and I am giving two of them in great South American cities in late September and early October. Since these constitute “investment education,” many of you will be able to write the expenses of this trip off (travel, some meals, and cost of conferences). Here are some more details of each – and I hope to see many subscribers at each:

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 will 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 may host a special gathering for MMA Subscribers on Sunday, October 3, the day of Brazil’s elections, if enough subscribers request such a meeting.

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.

April 28 and 30, 2011: Kansas City, Mo. “Forecasts for 2011” and “Financial Astrology Workshop” with Raymond Merriman. Sponsored by AOA. Details soon. This will be the next Financial Astrology workshop in the United States.

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, please go to http://www.heavenandearthworkshops.com/financial.html.

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).

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