Note: I am leaving for China now for courses the next two weekends. This column may not be written and available at its normal times during this period.
J.P. Morgan Chase CEO Jamie Dimon said that the escalating U.S.-China trade dispute is a “real issue” that could damage corporate confidence. “I think trade is a real issue,” Dimon said Tuesday at a conference in New York. “Trade has gone from being a skirmish to being far more important than that. If this goes south in a bad way, and you have other surprises, that could be part of the thing that changes confidence, changes peoples’ willingness to invest.” –Hugh Son, “Jamie Dimon Warns US-China Trade Fight Becoming a ‘Real Issue’ that Could Deter Investment,” https://www.cnbc.com, May 28, 2019.
CNBC’s Jim Cramer said Tuesday that investors should balance exposure to the market with storing cash on the sidelines, because there are “some real worries here.” “I think we could be on the verge of a significant slowdown in the U.S. economy if something doesn’t change soon,” the “Mad Money” host said. “Consumer and corporate confidence [is] waning. Things just don’t feel right in this country.” – Tyler Clifford, “Cramer: The U.S. Economy “Could Be On the Verge of a Significant Slowdown,” https://www.cnbc.com, May 28, 2019.
The dominant phase of the Jupiter/Neptune square is underway. The transition from hope and optimism that began in the month of May has reversed as May came to an end last week.
Prior to May 1, many of the world equity markets were making or testing new all-time highs on or about May 1. Optimism and “irrational exuberance” were in evidence everywhere as talks of a trade deal between China and the USA were close to completion. World trade and the world economy were about to explode, typical of the Jupiter-in-Sagittarius part of this aspect. The S&P and NASDAQ, as well as the Zurich SMI and Australian ASX index were at record highs, and the Dow Jones Industrial Average was close to its all-time high. This was the “setup” phase of the Jupiter/Neptune square discussed at length in this year’s Forecast 2019 Book.
But then the process took a sudden and bizarre turn, with characteristics also related to the Jupiter/Neptune waning square. Imagine that you are in the final round of negotiations with someone you wish to make an agreement with. You ask for further concessions, and the other side says, “Well, if you want that, then you have to give up this other part we agreed to before.” Compromise is the central ingredient in any negotiation. You want something, you have to be willing to give up something for it. But what happens when you take offense at the other side for asking you to give back something you already agreed to? Not much. You keep negotiating, trying to find other points of compromise until both parties agree on something in the middle, where each side gets something and gives up something so that it seems fair and balanced. Or, do you take such offense and loudly proclaim that the other side reneged on their prior commitment, alleging the other party has acted in bad faith? Such allegations and the accompanying act of changing the narrative from good will to allegations of dishonestly, torpedoes the agreement. Alleging (or actually experiencing) dishonesty and deception are also characteristics of Jupiter square Neptune. The negotiations break down, not because one side wanted to change the terms agreed to earlier, perhaps in response to requests for new conditions requested, but because of the implied deception in doing so, and then making it public. It is a strange way to negotiate, but one that is reflective of the current cosmic arrangement.
Stock markets reacted negatively to the sudden change in the trade negotiations, to the realization that what was expected to be a huge trade deal leading to a huge increase in world trade, has now morphed into a major disappointment that could lead to a contraction – not an expansion – of the world economy. The Dow Jones Industrial Average, which started the month testing 26,700, ended the month testing 24,800, a difference of almost 2000 points. Optimism is turning towards hysteria, with the possibility of a mini-panic erupting as we approach the June 9-24 time band outlined in previous columns as one of the most important geocosmics periods of 2019. We are already experiencing the influences associated with this cosmic set up.
As worries grow that the political and financial realms are losing control, investors seek other financial vehicles in which to place their monies. Hence, treasuries have soared to new yearly highs. In times when the concern starts to become more serious and fears of systemic disruptions are sensed, investors go to Gold. Last week witnessed a strong rally in the yellow metal, back above 1310, when just a week ago it was trading under 1270.
SHORT-TERM GEOCOSMICS AND LONGER-TERM THOUGHTS
Will the U.S. Dollar soon lose its status as the world’s premier currency? The consensus is no – it’s said that any move away from the dollar would take decades. This view is too complacent. Developments in the foreign exchange markets during the past 18 months point towards de-dollarization. – Sahil Mahtani, “The Dollar May Be Knocked Off Its Pedestal,” Wall Street Journal, May 23, 2019.
U.S. allies, looking to buck American control over international trade, are developing alternate systems that don’t rely on the U.S. currency… Global trade runs on dollars, giving the U.S. extraordinary power over nearly every entity that imports or exports anything anywhere. That clout has long frustrated America’s enemies, making them vulnerable to U.S. trade sanctions. – Justin Scheck and Bradley Hope, “Dollar Rivals Emerge, Testing U.S. Power,” Wall Street Journal, May 29, 2019.
There are often unintended consequences when one embarks on a new course of action. In the case of starting a new trade war with increasing tariffs, one consequence is that those affected by your actions will seek other trading partners, or other ways to increase their trading practices in ways that adversely affect you. Creating avenues to exchange goods for different currencies, other than the U.S. Dollar, is beginning to gain momentum. This is one of the themes of Saturn and Pluto conjunct in Capricorn, on the natal Pluto in the USA chart.
We have twin cosmic challenges right now: the Jupiter/Neptune square and the Saturn/Pluto/Moon’s South Node conjunction in Capricorn. Jupiter in Sagittarius is the wish to expand and grow. It “believes” things are good and getting better. Saturn and Capricorn are the opposite: the tendency is to contract and pull back. It is not operating on a “belief,” but rather on the “reality” of what is actually happening. Each of these dynamics is reaching one of their climax points in June, particularly June 9-24. Hold on. This ride is just beginning.
What can one expect? What can one do now? You can either use this cosmic energy to exhibit random acts of kindness, compassion, and help to others (but remember to be truthful and honest), or you can exhibit acts of deception and coercion, trying to bend others to your way of doing things, only to find rejection. On the side of positive possibilities, Saturn/Pluto in Capricorn has the capacity to identify one’s own personal set of ethical principles, and then to be called upon to defend them against all attacks. Pluto is a force of transformation, especially with Saturn in Capricorn. It has to do with power. You have power if you stay true to your personal ethics. It will empower you. But if you allow others to assume power over you, to the point of compromising your principles, they will. And in the process, you will lose who you are. You could experience a major identity crisis, accompanied by powerful feelings of guilt. This becomes a crisis point in one’s life, and it is particularly crucial to those who have planets located between 18-22° of cardinal signs (Aries, Cancer, Libra, and Capricorn). Those born January 9-13, and every 90 days afterwards (April, July, and October) will likely notice the intensity of this time.
Stay clear in your thoughts, and know what you stand for, and then stand for it.
Shorter-term, there is a new moon in Gemini this week. Gemini can be inspired and alert, filled with many new ideas, but challenged to organize these thoughts and remain calm. With Jupiter and Neptune also in mutable signs (Gemini is mutable), this can be a very wild period, for personal emotions as well as market fluctuations.
ANNOUNCEMENTS
NOTE 1: At last! Our new website is due to be launched this week! After all, this is a new moon in Gemini week, a classic signature for new projects pertaining to the art and style of communications.
NOTE 2: THE MMA CYCLES 2020 VISION WEBINAR SERIES CONTINUES. Mark your calendars for June 22, 1 PM, EDT when MMA presents: RE-FOCUS YOUR INVESTMENT STRATEGIES: ALL CYCLES LEAD TO 2020. This live 2-hour webinar will be led by MMA Analyst Kat Powell. It will feature an in-depth look at longer-term cycles, trend patterns, and price targets for Silver and Soybeans, with select additional markets. Kat will also share her research highlighting geocosmic patterns correlating with the current Tariff Wars. Traders and investors will enjoy her clear, straight-forward charting examples and unique insights. Cost is $45.00 and includes an MP4 Recording with PDF charts. Sign up now and reserve you spot in the next MMA live webinar!
NOTE 3: The New ICR Cycles’ Reports from MMA are Coming!!! Starting on July 2nd, MMA will be expanding its International Cycles Report (ICR) into two reports… ICR Financials and ICR Commodities. Each report will be covering 7 markets, and will cost, as follows (but there will be a special introductory offer – see below):
ICR Financials:
Cost: $325/ Year or $66/ 2 Months
Markets Covered: ASX (Australian Stock Index), RUT (Russell 2000), SSE (Chinese Shanghai Stock Composite), HSI (Hang Seng Index), AUD (Australian Dollar), DXY (US Dollar), and GBP (British Pound)
Release Date: Tuesday July 2, 2019
ICR Commodities:
Cost: $325/ Year or $66/ 2 Months
Markets Covered: LC (Live Cattle), MJ (Cannabis), XAU (Gold and Silver), KT (Coffee), KA (Sugar), C (Corn), and W (Wheat)
Release Date: Wednesday July 3, 2019
If you sign up for either ICR Report by June 30th, you will also receive – at no additional cost – the May issue of our current ICR Report, which contains our initial analysis of Coffee, Corn, Wheat, and Sugar. As a final BONUS, we will send you both the ICR Financials Report and the ICR Commodities Report in July so that you can see and experience both of our new reports. That’s TWO reports- at no additional cost- just for trying our new report. SAVE 20% NOW! If you wish to sign up for both the ICR Financials Report and ICR Commodities Report, we are offering a 20% off the yearly rate for both reports, valid until June 1. Instead of $650 for both reports, your cost will be $520- a savings of $130! Use code ICR at check out to receive the discount.
NOTE 4: MMA’S DAILY AND WEEKLY SUBSCRIPTION REPORTS ARE THE BEST WAY TO KEEP UP WITH RAPIDLY CHANGING MARKETS! 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 will be interested in MMA’s Weekly or Daily Market reports. The weekly reports give an 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, Swiss Franc, T-Notes, Soybeans, Crude Oil, Gold and Silver, and Bitcoin. The daily reports cover all stock indices listed above, as well as the Euro Currency, Japanese Yen, Bitcoin, T-Notes, Gold and Silver, plus GLD and SLV (the Gold and Silver ETF’s). Both reports provide trading strategies and recommendations for position traders and shorter-term aggressive traders. Subscription to the Daily report also includes the Weekly report.
For any questions, please contact us at customerservice@mmacycles.com or call (248) 626-3034, or (800) MMA-3349.
EVENTS
June 8-16, 2019: IT’S ON! AND IT IS NEXT WEEK! June 8-16, 2019: “Geocosmic Correlations to Trading Cycles,” with Raymond Merriman in Beijing, China. The location for this special 2-weekend workshop has been changed. It will now take place at the Renaissance Hotel, No 61 Middle Road, East Third Ring Road, in Beijing, China. This will be two intensive weekend Market Timing and Trading workshops focusing on identifying the primary cycle and its phases used in trading several financial markets, with the emphasis on the U.S. and Chinese Shanghai stock indices and Gold (other markets will be included as well). The course will then take participants through the steps of narrowing the time band down for trading cycle highs and lows by applying geocosmic and solar/lunar studies. Once in the time band for a reversal, students will then learn how to apply various chart patterns and technical studies to identify the setup for optimal risk/reward opportunities. The workshop will take place on the weekends of June 8-9 and June 15-16 in Beijing. During the week, participants will have the option of taking tours with other MMA students to exciting areas of China. The cost for this unique and valuable 2-weekend trading course is $4000 (discounts will be available to subscribers of MMA Reports).
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 afree 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 a 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 hence potentially affect 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.