Merriman Market Analyst

Important Note: Due to the UAC conference taking place next week, there will not be a weekly column. As I will not return until May 24, the next report may not be available until Sunday, May 25, the day before the Memorial Day Holiday.

Review and Preview

 Financial Astrologers continued to learn valuable lessons last week.

 The prior week, many stock indices rallied into the Saturn stationary direct date of May 2. Normally one would expect to see markets declining into that time frame, and indeed many markets did, like precious metals. But not stocks. Most equity markets rallied to form a cyclical crest within three trading days of May 2, and then sold off into the end of last week as Jupiter turned stationary retrograde. Normally one would expect a rising market to continue up into that signature. But instead, stock indices declined into Friday’s stationary Jupiter. Crude Oil, precious metals, and grains rallied into it.

The important lesson was that Saturn signatures do not always correspond to a low in stock indices. But any financial or commodity market that is declining into a Saturn signature becomes a good candidate to make a bottom and start a rally, as precious metals just did. Conversely, Jupiter signatures do not always correspond to highs. They mark times of reversals.

 The majority of world stock indices we look at topped out in the middle of last week, and then started a decline into Friday. This includes the AEX of Netherlands, DAX of Germany. FTSE of England, Nikkei of Japan, and the Hang Seng of Hong Kong. Others topped out late the previous week as Saturn turned direct, and then declined into this past Friday as Jupiter turned retrograde. This includes the Dow Jones Industrial Average and NASDAQ Composite in the United States, and the Swiss Stock Market Index (SMI).

 In the study of Financial Astrology, Jupiter and Neptune co-rule Pisces, which in turn has domain over crude oil prices. As Jupiter turned stationary retrograde on Friday, Crude soared to yet another all-time high, hitting 126.25/barrel. Everyone is talking about the high price of gas these days – even the politicians. You know the top is close at hand when everyone – including the politicians – starts talking about it. You especially know it is close at hand when pundits start calling for it to double in price. There are four major Jupiter signatures in effect May 8-21. It is a good time frame in which to look for a top, based purely on Financial Astrology principles. Plus the Sun will, square Neptune on May 14. Of course, with this type of momentum and hysteria (another Jupiter emotion), the euphoria and irrational exuberance for Crude can spill over slightly beyond these signatures. But the point is: don’t follow the crowd here… not now.

Short-Term Geocosmics

As stated last week, “Over the next 2-3 weeks, we have four major Jupiter signatures coming up: Jupiter turns stationary retrograde on Friday, May 9, followed by the trine between the Sun and Jupiter on May 12. On May 18 Venus will form a harmonious trine to Jupiter, followed by the long-term sextile between Jupiter and Uranus. As suggested before, the combination of 1) the Federal Reserve Board easing (they reduced FED funds rate again this past week), 2) the $168B stimulus package of tax rebates to American tax payers (the money is being sent out now), and 3) so much money being poured into mutual funds for retirement accounts that was just waiting for a sign to go into stocks, would generate a rally stronger than anyone expected. It’s started. Look for new all-time highs before the end of this summer, maybe even a DJIA above 15,000. It’s Jupiter’s time coming up, and Jupiter is the cosmic Santa Claus.” Well, that euphoria didn’t manifest in stocks last week. It manifested in Crude Oil prices, and it didn’t feel like Santa Clause at all. It felt like panic and hysteria, which are the negative expressions of Jupiter. When stock markets come down into Jupiter signatures, it is usually due to an exaggeration of worries. But then those worries are usually seen as exaggerated either during, or right after, those signatures end.

There are also many Neptune signatures coming up through the end of this month. In addition to Wednesday’s Sun-Neptune square, we also find Venus squaring Neptune on May 20, and both Neptune and Mercury turning retrograde on May 26, Memorial Day. If Jupiter is exuberance, and Neptune is irrational, this period of “irrational exuberance” could continue all during this period, producing the kind of blow-off pattern we are seeing in Crude Oil. It is also interesting to note that Neptune is in a long-term conjunction to both Chiron and the North Node of the Moon. Not only is this a time of irrational exuberance, but it is also a time of heightened emotional sensitivities. People are easily offended or hurt, so be careful what you say, even if in jest. It could be easily misinterpreted and used against you. It can also be time of escapism and denial, related to developing scandals. Just be honest and honorable in all your dealings right now, lest you risk the embarrassment of being “revealed” for hidden motives. I wonder what kind of bogus “intelligence reports” or “leaks” we will see during this time?

Longer-Term Thoughts

 Last week I presented a rather bleak economic outlook for the future. One might wonder: is there no hope via astrology, longer-term? Yes there is, and it is in the field of alternative energy and ecology.

In the study of Mundane and Financial Astrology, energy (and change) is ruled by Uranus (in my opinion). In the next 7 years, Uranus will be involved in very long-term hard aspects to both Saturn and Pluto. Additionally Uranus continues in mutual reception to Neptune through 2011. That is, Uranus is in Pisces (Neptune’s ruling sign), and Neptune is in Aquarius (Uranus’ ruling sign). I think all of this portends a major shift in energy and our primary source of fuel. And I think the next seven years will be every bit as significant in terms of a collective shift in both consciousness and a ‘new economy” as we experienced in from 1993 through 2000, during the Uranus-Neptune conjunction period and the corresponding technology revolution.

As we are forced to shift away from our dependency on “Black Gold” (crude oil), due to high costs, a whole new economy is being born, just like technology underwent in the late 1990’s. This new economy, and its attendant economic opportunities, will be in the direction of alternative energy and fuel sources. It has already started, as is known as the “Green Economy.” We see it spring up everywhere: “Green homes,” “Green communities,” “Green products and foods,” “Green companies,” “Green energy.” But very few people understand that this is an actual shift in economic direction too, and it is producing a host of whole new investment opportunities. It is quite unusual when collective consciousness and awareness coincide with economic and investment opportunities. Here is a time and a chance to put your money to work in something you can believe in that will actually help the planet and masses of people for decades to come. This is the new “Big Bang” and Green Revolution. We are in it, and most of us don’t quite realize it. This is a major renaissance taking place, every bit as powerful as what happened in the late 15th century the last time Uranus and Neptune were in a mutual reception while Neptune and Pluto were also in an 80-year sextile formation. It is in effect again.

This will be the topic of one of my first presentation this week at the UAC conference in Denver, where the largest gathering of professional astrologers in the world in over 30 years will take place. And it will include one of the most impressive lists of Financial Astrologers as well. If you plan to attend, come up and say hello. I expect to come away with many new insights, and I am sure everyone present will as well.