NOTE: I will be on vacation next week, so there will be no weekly column issued for July 26. We will likely post a chapter from the Forecast 2021 book.
REVIEW AND PREVIEW
Congress is barreling toward a summer battle over spending levels as Democrats rush to craft a pair of spending bills while simultaneously addressing the debt ceiling to keep the U.S. from defaulting on its financial obligations… While testifying before Congress, Treasury Secretary Janet Yellen urged lawmakers to address the looming debt ceiling. “Defaulting on the national debt should be regarded as unthinkable. Failing to increase the debt limit would have absolutely catastrophic economic consequences,” Yellen said. – Megan Henney, “What Is the Debt Ceiling?” www.foxbusiness.com, July 13, 2021.
Except that the U.S. came very close to doing just that (Janet Yellen quote above) in 2010, which led to the first downgrade of the U.S. credit rating in history. That just happened to be in the previous quarter cycle phase of the 45-year Saturn/Uranus cycle. The quarter cycle happens about every 11.25 years. Here we are again, February 17-December 24, 2021. The quarter cycle before that was interesting too. It was in 1999-2000, coincident with an all-time high in the U.S. stock market that was followed by the dot-com bubble burst and another serious recession.
However, let’s look at some positive market news from last week. Several world stock indices made new all-time highs as the sensual Venus/Mars conjunction in Leo unfolded on Tuesday, July 13. In Europe, both the German DAX and Netherland AEX made new all-time highs one day later on July 14. It was not confirmed by the Zurich SMI, whose all-time high was a week earlier, on July 7, just one day after our three-star geocosmic critical reversal date of July 2-6.
In Asia and the Pacific Rim, the Australian ASX index barely made another new high right on July 13. India’s NIFTY also made a new all-time high on Friday, July 16. China’s Shanghai Composite and Hong Kong’s Hang Seng index were recovering from possible primary cycle lows the prior week on July 8. Japan’s Nikkei, however, continues to exhibit a bearish chart pattern of lower highs and lower lows and is close to breaking its 2021 triple bottom base of 27,385-27,629 that stretches back to January 29. That is a key support area to watch, for if it breaks, a mini-panic may begin that would force the Nikkei to continue its most substantial decline since the COVID-19 panic lows of March 2020. Other world indices may follow. In the case of the Nikkei, the decline has been underway since its 30-year high on February 16, 2021, one day before the first passage of the powerful Saturn/Uranus square of 2021. Interestingly enough, it made its second primary cycle crest of the year on June 15, one day after the second passage.
In the U.S., both the S&P and NASDAQ rallied to new all-time highs last week, on July 13 and 14, respectively. The DJIA almost did the same on Friday, rallying to a high of 35,090, just one point below its May 10 record high of 35,091. But then the floor fell out and the DJIA closed down 300 points. So much for the positive news related to Venus conjunct Mars in Leo. The charm offensive is over. It’s back to reality and a new cosmic energy (i.e., new matters of greater attention for the investment community).
In other markets, the U.S. Dollar came close to a new cycle high, reaching 92.83 on July 14. The cycle high so far has been 92.84 on July 7, one day after our prior three-star critical reversal date. The Euro, on the other hand, fell on July 13 to its lowest level since April 5. The July 2-6 CRD (critical reversal date) was also important in Crude Oil, which made its 33-month high on July 6. One week later, on Friday, July 16 it was testing 70.00, its lowest price since June 18. In precious metals, Silver is falling once again, reaching 25,64 on Friday, not far from its recent low of 25.56 made on June 26. Gold remained well above its primary cycle low of June 29, just three trading days before the July 2-6 geocosmic CRD.
As we review these markets, we note that Venus has indeed served as a correlate to currency prices. The lows of July 7 and 13 coincided with Venus making a T-square with Saturn and Uranus (July 7-8) and then its conjunction Mars (July 13). Both periods saw a potential cycle reversal in most currencies.
Venus has been the dominant planet making aspects to other planets during the past two weeks. Now that switches to Jupiter. On July 22, Venus will make an opposition to Jupiter, followed by Mars doing the same on July 29. During this same period there will be several ingresses (planets changing signs). On July 22, the Sun enters the fun-seeking sign of Leo while Venus enters the not-so-much fun but more let’s-get- to-work oriented sign of Virgo. On July 27, Mercury joins the Sun in the party sign of Leo, and one day later, Jupiter retrogrades back from Pisces into Aquarius for the rest of the year.
Jupiter in early Pisces has indeed correlated with the Fed’s decision to stay the course in its monetary accommodative policies, just as this column suggested would be the case when it started this brief interlude in mid-May. Last week, Fed Chairman Jerome Powell reiterated the Fed’s intention to keep short-term rates near zero (ZIRP) and continue its sizeable purchases of treasuries every month (QE infinity continues). The presence of Jupiter over the next two weeks won’t change that generous and stimulative monetary policy.
Nor is it likely that Congress and the White House will halt their stimulative fiscal policies. To the contrary, their demand for more stimulus is likely to accelerate, for under Jupiter, no one really wants to take away the punch bowl. The problem is that the debt ceiling is fast approaching, and Treasury Secretary Janet Yellen is clearly nervous about the possibility of a default if Congress can’t come to an agreement. They had a chance for compromise under Venus. But with Venus passing out of orb next week, the opportunity to do so may not be so favorable with the Sun approaching its opposition to Saturn and square to Uranus, August 2-7. It might get tense and an agreement may not be reached for a few days after the deadline. Being that Ms. Yellen is Leo born under a full moon in Aquarius, and Aquarius is ruled by Uranus, which is being squared by Saturn, she probably has cause to be a bit nervous. So should investors.
“When you look at real interest rates on long-date Treasuries, it looks like Jimmy Carter area,” said Gundlach. “We’re talking about the CPI at 5.4%, and if we want to use the 10-year Treasury it’s not even at 1.4%, that’s a negative 4% interest rate. That’s Jimmy Carteresque.”– Maggie Fitzgerald, “Bond King Gundlach Says Inflation Environment Today Reminds Him of the 1970’s” ‘Jimmy Carteresque’” www.cnbc.com, July 15, 2021.
Parents love to compare. And sometimes, we’ll even tell our kids that they’re better than others. We want them to feel as proud as we do, and to be motivated to do even better the next time … but for all the wrong reasons. It’s not healthy to be trapped in a vicious cycle of competition. Social comparisons can teach kids to always measure success based on the outcomes of other people. Even worse, according to research, giving kids praise in terms of comparison, in some cases, can cultivate narcissism, attention-seeking behavior and a lack of teamwork values. – Jessica Vanderwise, “A Psychotherapist Says Parents Who Raise Confident, Mentally Strong Kids Always Do These 3 Things When Praising Their Children,” www.cnbc.com, July 15, 2021.
As I have been saying… 2021 is 1976 all over again in terms of the Saturn/Uranus cycle. 1976 was the last time Saturn and Uranus were in a waning square. Jimmy Carter was elected president following the controversial (to put it mildly) ending of the Richard Nixon reign. Under Carter, the economy boomed the first four months to a record start for any presidency. That record lasted until 2021, when it did it again under President Biden’s first four months. Under Carter, inflation started up again, led by rising energy prices. By the end of his term, it reached levels that sucked all the air out of the economy and led to several years of slow growth, multiple recessions, and high interest rates. He lost his re-election bid in 1980 to conservative Ronald Reagan.
Now let’s have some Venus/Mars in Leo speculative fun for a moment and look at our cosmic crystal ball (for the record, I don’t really have a crystal ball and I am not a psychic… it just seems like it sometimes). Let’s look at Election Day, November 5, 2024. The transit of Jupiter, the great benefic, will be conjunct Donald Trump’s natal Sun, as noted by astrologer Robert Thibodeau (https://mayflowerbookshop.com/). That is not usually a transit of unhappiness or disappointment. To the contrary, Trump is likely to be very happy. But I don’t think it is because he wins, but rather someone he supports may win, or looks like they may win as results come in on Election Day. And it’s not likely to be Joe Biden (transit Pluto square his Moon, Saturn near IC). Maybe Capricorn Mike Pompeo wins, if he is nominated to run, as the Moon also enters Capricorn on Election Day (November 5, 2024) and will cross his natal Sun that evening.
I know my liberal friends will not be happy with this possibility (and my conservative friends will be), but for now, that is all it is: a possibility. We don’t know the nominees yet. That will make a big difference. We don’t have a time of birth for Mike Pompeo (if someone does, please share it with me). But we do know that Donald Trump finds the transit of Jupiter on his Sun, and that is usually a high note in life – and possibly a catalyst for extreme narcissistic behavior for someone who leans towards such. The thing is, the transit of Jupiter only lasts a few days, and if the election results are not known quickly, the benevolence of Jupiter can soon lose its correspondence to Trump’s temporal happiness as transiting Uranus (planet of sudden reversals) will also square his natal Mars and Ascendant. In the true Gemini fashion that represents his sun sign, Mr. Trump can be both happy and angry at the same time. Just like the rest of the country on Election Day.
Have a nice two weeks ahead, and I will be back after this one-week vacation.
NOTE 1: THE JULY ISSUE OF THE MMA Monthly Cycles Report was released last week, Tuesday, July 13 (Venus conjunct Mars). The revised labeling of the U.S. stock market’s intermediate-term cycle was discussed as well as the revised primary cycle labeling of Gold, Silver, T-Notes, and the Euro. Every issue provides MMA’s intermediate-term and near-term outlook for the U.S. stock market, Gold, Silver, Treasuries, Euro Currency, Crude Oil, and Soybeans. Each issue also contains MMA’s original geocosmic critical reversal dates (CRDs) for July and August, and the Solar/Lunar reversal dates over the next several weeks for DJIA, Gold, Silver, and Bitcoin, complete with trading strategies for position traders of each market. If you are not a subscriber to the monthly MMA Cycles Report and would like a copy of our outlook for financial markets, consider trying the July issue for only $35.
NOTE 2: NEW CRYPTO FEATURE FOR MMA WEEKLY REPORTS! The MMA Bitcoin subscription report now includes Ethereum in its weekly analysis, as of last week! Ethereum’s weekly analysis is also now added to the full MMA Weekly subscription report, to be included along with Bitcoin’s weekly analysis. If you do not subscribe to either, you can receive the daily Bitcoin report, which will now include the weekly Bitcoin plus Ethereum reports from MMA for a $150 monthly rate (yearly and quarterly rates are also available). For a description or ordering information on either the MMA Bitcoin report or the full MMA Weekly Reports, click here.
NOTE 3: SOLAR/LUNAR STUDIES FOR DJIA, GOLD, AND SILVER ARE NOW AVAILABLE IN THE UPDATED FAR SOFTWARE. A new feature has just been added to the FAR for the Galactic Trader software program, called “MMA Solar/Lunar Studies.” This new feature connects the daily solar/lunar weighted values for the DJIA, Gold, and Silver, based on the research studies conducted in Ray Merriman’s solar/lunar books.
With this new feature, one is able to select any date on the calendar and the solar/lunar values for reversals in the DJIA, Gold, and Silver market will pop up. These values are based on reversals of 4% or more that have a greater or lesser than “normal” probability of occurrence as reported in the books by Merriman. There is also a feature in the FAR program (“Filtered Waves”) that allows the continuous update of weighted values based on market data as it unfolds. This new item allows one to also determine which dates, each month, have the highest (or lowest) probability of a 4% reversal from an isolated low or high based on historical rates of frequency, as well as its correspondence to either a high or low.
For further information on FAR for the Galactic Traders software program, including ordering instructions, go to www.mmacycles.com > shopping cart > software or click here. The “End of Day” version (as opposed to “Real Time”) is sufficient for the use of these new features.
Special additional offer: For those who order the new updated version of the FAR program, which includes the “solar/lunar weighted values studies” feature, a special discount of 50% will be available for the purchase of either (or all) of the three solar/lunar reversal books by Merriman. These include: The Ultimate Book on Stock Market Timing Volume 4: Solar/Lunar Correlations to Short-Term Trading Reversals; Solar/Lunar Key to Gold Prices; and The Sun, the Moon, and the Silver Market.
NOTE 4: RECORDING OF MMTA COURSES 1 AND 2 NOW AVAILABLE FOR DOWNLOAD!!! The videos of each course came out very well. And there is no better way to learn Financial Market Timing the MMA way than these classes. Course 1 consisted of seven classes (2-3 hours each), on “Cycles and Chart Pattern in Financial Markets.” This may be the most complete and immediately useful course available on the study of Cycles (approximately 20 hours). Course 2 consisted of seven classes on “Geocosmic Correlations to Long-Term Cycles in Financial Markets.” This course shows the correspondence between long-term market cycles and long-term planetary cycles. Not all planetary cycles are equal in their correlation to financial market cycles! Each course was presented by Raymond Merriman and Gianni di Poce, with interactive Q&A periods. Each video course comes with a 100+ page workbook, and the PowerPoint slides.
SEPTEMBER 3/SEPTEMBER 4: MMA’S FINANCIAL MARKETS UPDATE FOR CHINA: This special webinar will take place on Friday evening, September 3, 2021, at 6:30 PM (PST) which is September 4, 9:30 AM, Saturday morning in Beijing or 11:30 AM in Sydney, Australia. In the comfort of your own home or office, you can tune into Raymond Merriman’s Webinar on Financial Markets for China. This 3-hour webinar will give an update and overview on the Shanghai Composite Index, Gold and Bitcoin It will describe the geocosmic critical reversal zones that are highlighted for the rest of 2021, including the important December 19-25 period when Venus will turn retrograde conjunct Pluto, and the final Saturn/Uranus waning square will take place. This meeting will examine how these long-term planetary cycles may affect the longer-term cycles and trends in world economies and specifically these three financial markets (Shanghai Composite, Gold, and Bitcoin). There will be a Q&A with participants in which questions concerning other markets of interest in China may be discussed from both a cycles’ and geocosmic studies viewpoint. The presentation will be given in English and translated into Chinese. The cost to attend this special broadcast is $55.00 and includes the slides of the presentation, plus access to the video recording of the event. Details will be available soon on the MMA website for registration.
Disclaimer and statement of purpose: The purpose of this column is not to forecast 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 often cite 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 may affect human activity in the times to come. The author (Merriman) will do this from the perspective of a cycles’ 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 the psychological dynamics that underlie (or coincide with) the news events and their potential effect on financial markets.
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 of this column assume any responsibility whatsoever for anyone’s trading or investment decisions. Readers of this report should understand that commodity futures and options trading are considered high risk.